What security information regarding the Bhc Computer System must the Master Franchisee communicate to the Franchisor?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
- (c) Master Franchisee may not install, and must prohibit others from installing, unauthorized software on the Computer System. Master Franchisee must take all commercially reasonable measures to ensure no malicious code, malware or other unauthorized code or software is installed on, or transmitted by, the Computer System. Master Franchisee must always communicate to Franchisor all passwords, access keys and other security devices or systems necessary to permit Franchisor to access the Computer System and obtain the data Franchisor is permitted to obtain under this Agreement, including accounting, sales, marketing, client, and other information to assist in and support the operation of the Franchised Business.
Source: Item 23 — Receipts (FDD pages 52–230)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, the Master Franchisee has specific obligations regarding the security of the Computer System used in the BHC Restaurant. The Master Franchisee is required to communicate certain security-related information to Bhc. This includes providing all passwords, access keys, and other security devices or systems that are necessary for Bhc to access the Computer System. This access allows Bhc to obtain data as permitted under the franchise agreement. This data includes accounting, sales, marketing, client, and other information that supports the operation of the franchised business.
This requirement ensures that Bhc maintains the ability to monitor and support the franchised business effectively. By having access to the Computer System, Bhc can retrieve transaction information, including sales, sales mix, usage, and other operations data. This access is crucial for Bhc to oversee the performance of the franchise and provide necessary assistance. The Master Franchisee must ensure that only adequately trained employees and Subfranchisees conduct transactions using the Computer System.
Furthermore, the Master Franchisee is prohibited from installing unauthorized software on the Computer System and must take measures to prevent the installation of malicious code or malware. This is a standard security practice in franchising to protect the integrity of the brand's systems and data. The Master Franchisee's compliance with these security measures is essential to maintaining the security and operational efficiency of the Bhc franchise system.