When acting as a data processor, what obligations must a Caring Transitions franchisee comply with?
Caring_Transitions Franchise · 2025 FDDAnswer from 2025 FDD Document
(b) Franchisee shall process any that may be collected or acquired by Franchisee, whether from clients, employees or other sources ("Franchise Data") strictly in accordance with data protection laws that may apply from time to time during the course of this agreement and, in particular:
(1) only insofar as is necessary for the purpose of performing its obligations under this agreement;
(2) in accordance with Franchisor's instructions except where to do so would infringe data protection laws or any other statutory provision that prevents Franchisee from complying with such instructions;
(3) before processing any data, inform the person to whom the data relates of (i) the purpose(s) for which any processing is to be carried out, (ii) the availability of the option to remove their personal information, and (iii) the address, telephone number and identification of Franchisee in compliance with applicable laws;
(4) obtain the approval and authorization of the person to whom the data relates for handling of their personal data;
(5) not disclose the Franchise Data to or allow access to it other than by its or Franchisor's employees and/or any third parties engaged by Franchisee to perform the obligations imposed on Franchisee by this agreement and ensure that any such employees and/or third parties execute appropriate written contractual covenants concerning the protection of the Franchise Data from unauthorized access, use or disclosure;
(6) without prejudice to any other obligations imposed upon Franchisee by this agreement, use all reasonable efforts to assist Franchisor to comply with such obligations as are imposed on the Franchisor by Data Protection Laws.
(c) Franchisor shall provide such co-operation as is reasonably required to enable Franchisee to ensure compliance with its obligations under data protection laws, including entering into such additional agreements as may be required to ensure that there are adequate safeguards for the Franchise Data and that the transfer of Franchise Data to Franchisor complies with data protection laws.
(d) Insofar as Franchisee acts as a data processor and processes any Franchise Data on its own and/or Franchisor's behalf, Franchisee shall comply with the obligations placed on a data controller by data protection laws.
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 41–49)
What This Means (2025 FDD)
According to Caring Transitions' 2025 Franchise Disclosure Document, franchisees have specific obligations regarding data protection. When a Caring Transitions franchisee acts as a data processor and handles Franchise Data on their own or on behalf of the franchisor, they must adhere to the obligations placed on a data controller by data protection laws. This means the franchisee is responsible for ensuring that personal data is processed lawfully and ethically. Franchisees must process data strictly in accordance with data protection laws, only to the extent necessary for fulfilling their obligations under the franchise agreement, and according to Caring Transitions' instructions, unless those instructions violate data protection laws.
Before processing any data, the franchisee must inform the data subject about the purpose of the processing, their option to remove personal information, and the franchisee's contact information, complying with applicable laws. They also need to obtain approval and authorization from the data subject for handling their personal data. Franchisees are prohibited from disclosing Franchise Data or allowing access to it, except by their or Caring Transitions' employees, or authorized third parties who have agreed to protect the data through written covenants.
Furthermore, Caring Transitions franchisees must assist the franchisor in complying with Data Protection Laws and will be reasonably required to ensure compliance with data protection laws. This includes entering into additional agreements to ensure adequate safeguards for Franchise Data and compliant data transfer to the franchisor. Franchisees are also required to indemnify Caring Transitions against any claims arising from failure to comply with data protection laws related to Franchise Data processed by the franchisee or their agents, or from the franchisee's failure to obtain necessary consents.