What are the franchisee's obligations regarding the collection, disclosure, processing, retention, and use of Personal Information under the Bft franchise agreement?
Bft Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee (and its Owners, if Franchisee is a legal entity) agrees that, during and after the Term, Franchisee will, and cause its spouses, immediate family members, affiliates, and assigns to: (i) process, retain, use, collect, and disclose Confidential Information strictly to the limited extent, and in such a manner, as necessary for the development and operation of the Studio in accordance with this Agreement, and not for any other purposes of any kind; (ii) process, retain, use, collect, and disclose Confidential Information strictly in accordance with the privacy policies and System Standards and Franchisee's and its representative's instructions; (iii) keep confidential and not disclose, sell, distribute, or trade Confidential Information to any person other than those of Franchisee's employees, independent contractors, and representatives who need to know such Confidential Information for the purpose of assisting Franchisee it is operation of the Studio in accordance with this Agreement; (iv) not make unauthorized copies of any portion of Confidential Information; (v) adopt and maintain administrative, physical, and technical safeguards to prevent unauthorized use or disclosure of any portion of Confidential Information, including by establishing reasonable security and access measures, restricting its disclosure to key personnel, and/or by requiring persons who have access to such Confidential Information to be bound by contractual obligations to protect such Confidential Information and preserve Franchisor's rights and controls in such Confidential Information, in each case that are no less protective or beneficial to Franchisor than the terms of this Agreement; and (vi) at Franchisor's request, destroy or return any portion of the Confidential Information.
Source: Item 23 — RECEIPTS (FDD pages 79–265)
What This Means (2025 FDD)
According to the 2025 Bft Franchise Disclosure Document, franchisees have specific obligations regarding confidential information. Bft requires franchisees (and their Owners, if the franchisee is a legal entity) to process, retain, use, collect, and disclose Confidential Information strictly to the limited extent, and in such a manner, as necessary for the development and operation of the Studio in accordance with the Franchise Agreement, and not for any other purposes of any kind. Franchisees must also process, retain, use, collect, and disclose Confidential Information strictly in accordance with the privacy policies and System Standards and the franchisee's and its representative's instructions.
Bft franchisees must keep confidential and not disclose, sell, distribute, or trade Confidential Information to any person other than those of the franchisee's employees, independent contractors, and representatives who need to know such Confidential Information for the purpose of assisting the franchisee in its operation of the Studio in accordance with the Agreement. Franchisees are prohibited from making unauthorized copies of any portion of Confidential Information. They must also adopt and maintain administrative, physical, and technical safeguards to prevent unauthorized use or disclosure of any portion of Confidential Information, including by establishing reasonable security and access measures, restricting its disclosure to key personnel, and/or by requiring persons who have access to such Confidential Information to be bound by contractual obligations to protect such Confidential Information and preserve Bft's rights and controls in such Confidential Information, in each case that are no less protective or beneficial to Bft than the terms of the Franchise Agreement. At Bft's request, franchisees must destroy or return any portion of the Confidential Information.
These stipulations ensure that franchisees handle sensitive data responsibly, protecting both the brand's reputation and the privacy of its customers. Franchisees should be prepared to implement robust data protection measures and train their staff accordingly. Failure to comply with these obligations could result in breaches of contract and potential legal repercussions.