What is the Circle K franchisee's obligation to ensure that both the franchisee and franchisor may process Customer Information as outlined in this Agreement?

According to Circle K's 2025 Franchise Disclosure Document, the franchisee is responsible for obtaining appropriate customer consent to ensure that both the franchisee and Circle K can process customer information as outlined in the franchise agreement. Customer Information includes any contact information, sales and payment history, and all other information about any customer. This includes any personal information that identifies, relates to, describes, is capable of being associated with, or could reasonably be linked, directly or indirectly, with a particular individual or household. The term 'customer' refers to any person or entity included on marketing or customer lists, who purchases products or services at the store, or whom the franchisee has solicited to purchase any products or services at the store. Circle K owns all Customer Information and may use it as it deems appropriate, including sharing it with its Affiliates.

The Circle K franchisee must comply with all applicable laws regarding the collection, storage, disclosure, and use of Customer Information. This includes adhering to all laws and regulations relating to data protection, privacy, and security, including data breach response requirements, as well as any data privacy and security policies, procedures, and other requirements that Circle K may periodically establish. The franchisee is also obligated to notify Circle K immediately of any suspected data breach at or in connection with the store and must fully cooperate with Circle K and its counsel to determine the most effective way to meet Circle K's standards and policies pertaining to Privacy Laws within the bounds of applicable law.

In practical terms, this means a prospective Circle K franchisee needs to understand and implement systems to obtain and document customer consent for data collection and usage. They must stay updated on changing privacy laws and Circle K's policies, and be prepared to respond swiftly to any data breaches. Failure to comply with these obligations could result in legal penalties and damage to the Circle K brand's reputation. This requirement highlights the increasing importance of data privacy and security in franchise operations, particularly for businesses that handle customer data extensively.