Who owns the Customer Information collected at a Circle K store?
Circle_K Franchise · 2025 FDDAnswer from 2025 FDD Document
- (a) Franchisor owns all Customer Information (as defined below) and may use the Customer Information as it deems appropriate (subject to applicable law), including disclosing it to vendors.
Franchisee may only use Customer Information for the purpose of operating the Store to the extent permitted under this Agreement, including the Business Systems Manuals, during the term hereof and subject to such restrictions as Franchisor may from time to time impose and in compliance with all data privacy, security and other applicable laws. "Customer Information" means any contact information (including name, address, phone and fax numbers, and e-mail addresses), sales and payment history, and all other information about any customer, including 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.
As used in this Agreement, the term "customer" refers to any person or entity (i) included on any marketing or customer lists that Franchisee develops or uses; (ii) who has purchased or purchases products or services at the Store; or (iii) whom Franchisee has solicited to purchase any products or services at the Store.
Franchisor may use the Customer Information as it deems appropriate, including sharing it with its Affiliates.
- (b) Without limiting the foregoing, Franchisee agrees to comply with applicable law in connection with its collection, storage, disclosure and its use and Franchisor's use of such Customer Information, including complying with all laws and regulations relating to data protection, privacy and security, including data breach response requirements ("Privacy Laws"), as well as data privacy and security policies, procedures and other requirements Franchisor may periodically establish.
Some laws require Franchisee to obtain consent to collect, store, disclose, and use (collectively "process") personal information.
Franchisee is responsible for obtaining appropriate Customer consent to ensure Franchisee and Franchisor may process Customer Information as outlined in this Agreement.
Franchisee must notify Franchisor immediately of any suspected data breach at or in connection with the Store.
Franchisee must fully cooperate with Franchisor and its counsel in determining the most effective way to meet Franchisor's standards and policies pertaining to Privacy Laws within the bounds of applicable law.
Source: Item 22 — CONTRACTS (FDD page 100)
What This Means (2025 FDD)
According to Circle K's 2025 Franchise Disclosure Document, Circle K owns all Customer Information and can use it as it deems appropriate, subject to applicable law, including disclosing it to vendors and affiliates. Customer Information includes any contact information (name, address, phone and fax numbers, and e-mail addresses), sales and payment history, and all other information about any customer, including 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. A customer is defined as any person or entity included on marketing or customer lists that the franchisee develops or uses, who purchases products or services at the store, or whom the franchisee has solicited to purchase any products or services at the store.
While Circle K owns the customer information, the franchisee may only use Customer Information for the purpose of operating the store to the extent permitted under the Franchise Agreement, including the Business Systems Manuals, during the term of the agreement, and subject to restrictions imposed by Circle K. The franchisee must comply with all data privacy, security, and other applicable laws.
The franchisee is responsible for obtaining appropriate Customer consent to ensure both the franchisee and Circle K may process Customer Information as outlined in the agreement. The franchisee must also notify Circle K immediately of any suspected data breach at or in connection with the store and fully cooperate with Circle K and its counsel in determining the most effective way to meet Circle K's standards and policies pertaining to Privacy Laws within the bounds of applicable law.
This means that while franchisees collect customer data, Circle K retains ownership and control over how that data is used. Franchisees must be diligent in following data privacy laws and Circle K's policies to protect customer information and avoid data breaches. This arrangement is common in franchise systems where the franchisor seeks to maintain brand consistency and leverage customer data for marketing and other strategic purposes.