When must a party destroy all Confidential Information related to Caption By Hyatt?
Caption_By_Hyatt Franchise · 2025 FDDAnswer from 2025 FDD Document
Each of the parties shall immediately destroy all Confidential Information and all copies or summaries of Confidential Information at the earlier of (a) the termination of discussions between Company and Hyatt regarding the Project or (b) on the written request of the disclosing party.
Notwithstanding the foregoing, receiving party and its Representatives may retain one copy of Confidential Information as may be required by (i) law, regulation or legal process, (ii) internal compliance or document retention policies, or (iii) with respect to digital media, such return or destruction is not practically feasible.
Any Confidential Information so retained shall kept confidential in accordance with such party's policies and procedures it uses to protect and safeguard its own client confidential information.
The receiving party shall also provide to the disclosing party a certification executed by a duly authorized officer who has supervised compliance with the foregoing indicating that the requirements of this provision have been satisfied in full.
Source: Item 23 — Receipts (FDD pages 85–349)
What This Means (2025 FDD)
According to Caption By Hyatt's 2025 Franchise Disclosure Document, each party involved must immediately destroy all Confidential Information, including copies and summaries, under specific circumstances. This destruction is required at the earlier of two events: either the termination of discussions between the Company and Hyatt regarding the project or upon the written request of the disclosing party. This requirement ensures that sensitive information is not retained unnecessarily once it is no longer needed for its original purpose. However, there are exceptions to this immediate destruction requirement.
The receiving party and its representatives are permitted to retain one copy of Confidential Information under certain conditions. These conditions include requirements by law, regulation, or legal process, internal compliance or document retention policies, or situations where the return or destruction of digital media is not practically feasible. Any Confidential Information retained under these exceptions must be kept confidential, adhering to the party's policies and procedures for safeguarding its own client confidential information. This allows for necessary retention of information while still maintaining confidentiality.
To ensure compliance, the receiving party must provide the disclosing party with a certification. This certification, executed by a duly authorized officer who has supervised compliance, confirms that all requirements of this provision have been fully satisfied. This certification adds an extra layer of accountability, ensuring that the destruction or retention of Confidential Information is properly managed and documented. This process helps protect both parties and maintain the integrity of the confidential information shared during discussions or projects.