For Carls franchisees, is CKR responsible for the cost of retrieving data from the franchisee's computers?
Carls Franchise · 2024 FDDAnswer from 2024 FDD Document
- 2.4 Access to Data. Franchisee agrees that CKR and/or its designee shall have the free and unfettered right to retrieve any data, customer information and other information from Franchisee's computers as CKR and/or Franchisor, in their sole discretion, deem appropriate, including electronically polling the daily sales, computer information and other data of the Franchised Restaurants, with the cost of the retrieval to be borne by CKR and/or Franchisor.
Franchisee shall backup all data on its computer system daily and comply with any and all other operational requirements required by its Franchise Agreement(s) and any manuals that govern the operation of the Franchised Restaurants.
Source: Item 23 — RECEIPTS (FDD pages 80–480)
What This Means (2024 FDD)
According to the 2024 FDD, CKR is responsible for the cost of retrieving data from a Carls franchisee's computers. Specifically, CKR has the right to retrieve data, customer information, and other information from the franchisee's computers as they deem appropriate. This includes electronically polling daily sales, computer information, and other data.
The FDD states that the cost of this data retrieval is to be borne by CKR. This means that franchisees will not have to pay for CKR to access and collect data from their computer systems. This could include sales data, customer information, or any other information deemed necessary by CKR.
However, the franchisee is responsible for backing up all data on its computer system daily and complying with all operational requirements outlined in the Franchise Agreement and any governing manuals. While CKR covers the cost of data retrieval, the franchisee is responsible for maintaining their data and ensuring its availability.