If Bhc establishes an Intranet, what standards, specifications, protocols, and restrictions must a Master Franchisee follow?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
- (b) If establishes an Intranet, Master Franchisee must use it in strict compliance with the standards and specifications, protocols and restrictions Franchisor establishes regarding such use. Such standards and specifications, protocols and restrictions may provide, restrict or otherwise relate to (i) the use of abusive, slanderous or otherwise offensive language in electronic communications, (ii) communications between or among BHC Master Franchisees that disparage Franchisor or endorse or encourage breach of any BHC franchise agreement, or other agreement with Franchisor or Franchisor's affiliates, (iii) confidential treatment of materials that Franchisor transmits via the Intranet, (iv) password protocols and other security precautions, including limitations on the number and types of employees who may be granted access to the Intranet, (v) grounds and procedures for Franchisor's suspending or revoking a BHC Master Franchisee's access to the Intranet, and (vi) a privacy policy governing Franchisor's access to and use of electronic communications that Master Franchisees post to the Intranet. Master Franchisee acknowledges that, as administrator of the Intranet, Franchisor can access and view any communication that any person posts on the Intranet. Master Franchisee further acknowledges that the Intranet facility and all communications posted to it are Franchisor's property, free of any claims of privacy or privilege that Master Franchisee or any other person may assert.
- (c) Master Franchisee must establish and continually maintain (during all times that the Intranet is operational and until the termination of this Agreement) an electronic connection (the specifications of which will be specified in the Operations Manual) with the Intranet that allows Franchisor to send messages to, and receive messages from Master Franchisee, subject to Franchisor's standards and specifications.
Source: Item 23 — Receipts (FDD pages 52–230)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, if Bhc establishes an Intranet, the Master Franchisee must adhere to the standards, specifications, protocols, and restrictions set by Bhc regarding its use. These standards may cover various aspects of communication and security. Bhc retains full control over the Intranet's content and functionality and has the right to dismantle it at any time without liability.
The standards and restrictions may relate to the use of offensive language in electronic communications, communications that disparage Bhc or encourage breaches of franchise agreements, and the confidential treatment of materials transmitted via the Intranet. Password protocols, security precautions, and limitations on employee access may also be imposed. Bhc can suspend or revoke a Master Franchisee's access to the Intranet based on established grounds and procedures. Additionally, a privacy policy will govern Bhc's access to and use of electronic communications posted by Master Franchisees.
The Master Franchisee acknowledges that Bhc, as the Intranet's administrator, can access and view any communication posted on it. The Intranet facility and all communications are considered Bhc's property, without any claims of privacy or privilege from the Master Franchisee. The Master Franchisee must also maintain an electronic connection with the Intranet, as specified in the Operations Manual, to send and receive messages, subject to Bhc's standards and specifications.