What is the required frequency for Budget Licensee to review and update service packs, security patches, and updates for operating systems and applications?

According to Budget's 2025 Franchise Disclosure Document, Budget licensees must review manufacturer-supplied service packs, security patches, updates, or other corrective measures for all operating systems and applications that reside on their equipment. This review must be conducted by a designated administrator at least every 60 days. Following the review, the licensee is required to update these items as recommended by the manufacturer.

This requirement ensures that Budget licensees maintain a secure and up-to-date computing environment, which is critical for protecting sensitive data and preventing security breaches. By regularly reviewing and applying updates, licensees can mitigate potential vulnerabilities and maintain compliance with industry standards. This also helps to ensure compatibility with Budget's systems and maintain the integrity of the Budget network.

The responsibility for reviewing and applying these updates falls on an administrator designated by the licensee, highlighting the need for franchisees to either possess in-house IT expertise or contract with a qualified IT service provider. Failing to comply with these security standards could lead to a security breach, which, according to the FDD, could be grounds for default of the franchise agreement.

This requirement is in line with standard franchise practices, as franchisors often mandate specific technology standards and security protocols to protect their brand and network. Prospective Budget franchisees should factor in the ongoing costs associated with maintaining these security measures, including the cost of labor or outsourced IT services, to ensure they can meet Budget's requirements.