What are the key topics covered in Bonchon's 'Safety and Security' section?
Bonchon Franchise · 2025 FDDAnswer from 2025 FDD Document
Licensee agrees not to disclose, publish, display, translate, release, transfer or otherwise make available the Bonchon Software, any part of the Software or any other materials furnished by Licensor in any form (or any copy of any of the foregoing) to any person, without the written consent of Licensor, which may be withheld with or without cause except for use of the Software in the ordinary course of its Bonchon Franchised Business to disclose, publish, display and make available the Software as needed to its employees. Licensee agrees that it will take all necessary action to assure Licensee's compliance with its obligations under this Agreement. Licensee shall use its best efforts to assist Licensor in identifying and preventing any unauthorized use, copying or disclosure of the Software or any portions thereof. Without limitation of the foregoing, Licensee shall advise Licensor immediately in the event Licensee learns or has reason to believe that any person who Licensee has given access to the Software, or any portion thereof, has violated or intends to violate the terms of this Agreement. The provisions of this Section 4.01 will survive the termination of this Agreement. Licensee shall not rent, lease, loan, distribute, sell, sublicense or encumber the Software.
You must at all times undertake all reasonable measures to anticipate, detect and prevent fraudulent credit or debit transactions.
“Crisis Management Event” means any event or incident that:
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- occurs at or about, or impacts, your Bonchon Restaurant that has or may cause real or perceived harm or injury to member or employees, such as equipment malfunction, food contamination or other food safety issue, matters affecting the health, safety or well-being of any member, employee or the public at the Restaurant, epidemics, pandemics or other contagious diseases, natural disasters, criminal or terrorist acts, shootings, or any other circumstances which may have the actual or potential ability to damage the System, the Proprietary Marks, or the image or reputation of us or our affiliates; and/or
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- occurs at or about, or impacts (or has the ability to impact regardless of whether such impact so occurs) one or more Bonchon Restaurant that (x) has or may cause real or perceived harm or injury to the System, the Proprietary Marks, or the image or reputation of us or our affiliates or (y) has or may cause harm or injury to members, employees or the public, including, but not limited to, incidents or events relating to equipment malfunction, food contamination or other food safety issue, matters affecting the health, safety or well-being of any member, employee or the public at the Restaurant, epidemics, pandemics or other contagious diseases, natural disasters, criminal or terrorist acts, shootings, or any other circumstances which may damage the System, the Proprietary Marks, or the image or reputation of us or our affiliates; and/or
A. We may, in our sole and absolute discretion, elect to control the manner in which the Crisis Management Event is handled by the parties, including, without limitation,
managing and conducting, ourself or via our designee, all communication with third parties including the news media, temporarily suspending or closing one or more Bonchon Restaurants, suspending or discontinuing certain service offerings at some or all Bonchon Restaurants and/or taking any remedial measures or making any such other modifications to the Bonchon's System's policies, procedures, processes and operations as we may deem, in our sole discretion, necessary or prudent in response to the Crisis Management Event. Your and our employees shall cooperate fully with us or our designee in our or our designee's efforts and activities in this regard and shall be bound by all further Crisis Management Event procedures developed by us. You shall not reopen your Bonchon Restaurant or resume suspended or discontinued services until we provide our express written consent to do so.
- B.
Upon learning that a non-System wide Crisis Management Event has occurred in or about your Bonchon Restaurant, you shall immediately inform us by telephone or email (or as otherwise instructed in the Manual) upon becoming aware of such Crisis Management Event.
You acknowledge that, if we elect to direct the management of any Crisis Management Event, we or our designee may engage the services of attorneys, experts, doctors, testing laboratories, public relations firms and those other professionals as we deem appropriate, and we may require you to reimburse us for all such costs provided, however, that you shall only be required to reimburse us for such costs to the extent the Crisis Management Event (i) arises, directly or indirectly, from the actions or inactions of you or (ii) relates solely to, or solely occurs in or about, your Bonchon Restaurant.
Your indemnification obligations as provided in Section 8.11 shall apply to all losses and expenses that may result from our or our designee's exercise of the management rights granted in this Section.
- C.
Our rights under this Section 8.28 shall be exercised in our sole business judgment and nothing in this Section 8.28 shall be deemed to require us to act, manage or remediate any Crisis Management Event.
Our rights under this Section 8.28 shall continue until we determine that the Crisis Management Event is resolved.
We shall have no liability to you for any losses arising from our actions or inactions under this Section Bonchon Restaurants 8.28.
Source: Item 23 — RECEIPTS (FDD pages 92–536)
What This Means (2025 FDD)
According to Bonchon's 2025 Franchise Disclosure Document, the 'Safety and Security' section covers several key areas related to protecting Bonchon's assets and managing potential crises. One major component is the protection of Bonchon's proprietary software, requiring franchisees to maintain strict confidentiality and prevent unauthorized use or disclosure. Franchisees must also take measures to prevent fraudulent credit and debit card transactions, ensuring compliance with all legal and credit card company security requirements.
Another significant aspect of the 'Safety and Security' section pertains to 'Crisis Management Events,' which include incidents that could harm the brand's reputation or the safety of individuals at or around a Bonchon restaurant. These events range from equipment malfunctions and food safety issues to natural disasters, criminal acts, and pandemics. Bonchon retains the right to manage the handling of these events, including communications, temporary closures, and modifications to operational policies.
Franchisees are obligated to immediately report any non-System wide Crisis Management Event to Bonchon and must cooperate fully with Bonchon's management of the event. Franchisees may be required to reimburse Bonchon for costs incurred in managing a crisis if the event arises from the franchisee's actions or relates solely to their restaurant. The FDD outlines that Bonchon is not liable for any losses arising from their actions or inactions during a Crisis Management Event, emphasizing the importance of franchisee compliance with security protocols and crisis management procedures.
In summary, the 'Safety and Security' section of Bonchon's FDD places significant responsibility on franchisees to protect sensitive information, prevent fraud, and manage potential crises in accordance with Bonchon's guidelines. Prospective franchisees should carefully review these requirements to understand their obligations and potential liabilities related to safety and security matters.