Are there restrictions on communications between Burros Fries franchisees that endorse breach of agreement with the franchisor on the intranet system?
Burros_Fries Franchise · 2024 FDDAnswer from 2024 FDD Document
- (1) We will establish policies and procedures for use of the intranet system, if we establish one. These policies, procedures and other terms of use may address issues such as (i) restrictions on the use of abusive, slanderous or otherwise offensive language in electronic communications; (ii) restrictions on communications between or among franchisees that endorse or encourage breach of any agreement with us; (iii) confidentiality of materials that we transmit; (iv) password protocols and other security procedures; (v) grounds for suspending, or revoking Franchisee's access to the intranet system; and (vi) a privacy policy governing our access to and use of electronic communications that franchisees submit on the intranet system. Franchisee acknowledges that as administrator of the intranet system, we can access and view any communication that anyone posts on the intranet system. Franchisee further acknowledges that the intranet system and all communications that are posted to it will become our property, free of any claims of privacy or privilege that Franchisee or any other person may assert.
Source: Item 22 — CONTRACTS (FDD page 53)
What This Means (2024 FDD)
According to the 2024 Burros Fries Franchise Disclosure Document, Burros Fries will establish policies and procedures for the use of their intranet system, if they establish one. These policies and procedures may include restrictions on communications between franchisees that endorse or encourage a breach of any agreement with Burros Fries.
This means that as a Burros Fries franchisee, you may be restricted from using the intranet to communicate with other franchisees in a way that encourages them to violate their franchise agreements. This is a fairly standard practice in franchising, as franchisors want to maintain control over their brand and system, and prevent franchisees from undermining the franchise agreement.
Burros Fries, as the administrator of the intranet system, can access and view any communication posted on the system. All communications posted to the intranet system will become the property of Burros Fries, without any claims of privacy or privilege from the franchisee. This highlights the importance of franchisees understanding the terms of use and acceptable communication practices on the intranet system to avoid potential conflicts with the franchisor.