What precautions must a Chem Dry franchisee take to protect the Customer List?
Chem_Dry Franchise · 2024 FDDAnswer from 2024 FDD Document
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- Content Ownership and Confidentiality; Security. You agree the Customer List, as defined and governed by your Franchise Agreement, contains account and/or personal customer information and is, therefore, confidential information. As such, you agree not to disclose the Customer List, or any portion thereof, and to take all reasonable precautions to insure that your employees and/or contractors agree not to disclose such information to unauthorized third parties. CDI will use commercially reasonable efforts to protect, and to cause its vendors to protect, the security of the Content, including requiring its vendor to minimally maintain comprehensive general liability and internet professional and security liability insurance coverage, but in any event, CDI makes no representations or warranties concerning the security of the Content.
Source: Item 22 — CONTRACTS (FDD page 68)
What This Means (2024 FDD)
According to Chem Dry's 2024 Franchise Disclosure Document, the customer list is considered confidential information. As such, a Chem Dry franchisee must not disclose the Customer List, or any portion thereof, to unauthorized third parties.
To ensure the protection of this information, the franchisee must take all reasonable precautions to ensure that their employees and/or contractors also agree not to disclose such information to unauthorized third parties.
Chem Dry also states that it will use commercially reasonable efforts to protect, and to cause its vendors to protect, the security of the Content, including requiring its vendor to minimally maintain comprehensive general liability and internet professional and security liability insurance coverage. However, Chem Dry makes no representations or warranties concerning the security of the Content.
It is important for a prospective Chem Dry franchisee to understand their obligations regarding the confidentiality and security of the customer list, as failure to comply with these requirements could have legal and financial consequences.