factual

What are the requirements for a Cream franchisee to maintain an online privacy policy for their Digital Presence?

Cream Franchise · 2025 FDD

Answer from 2025 FDD Document

messages shared from or by such accounts, and including any and all branded email addresses and/or other accounts used by you, your Principal Owner, your Shopkeeper(s), and/or or your other personnel in connection with your Shop. We may deactivate any such account or limit your or your users' access to it at any time.

Except as expressly authorized by us, you may not develop, maintain, or authorize any Digital Presence that mentions your Shop, links to any Digital Presence that we manage or maintain, or displays any of the Marks. You may also not engage in any promotional or similar activities, or sell any products or services, whether directly or indirectly, through any Digital Presence, without our prior written approval. If we approve the use of any such Digital Presence in the operation of your Shop, you will develop and maintain such Digital Presence only in accordance with our guidelines, including our guidelines for posting any messages or commentary on third-party websites and/or maintaining an online privacy policy. Unless we specify otherwise, we will own the rights to each such Digital Presence that you manage. At our request, you agree to grant us access to each such Digital Presence, and to take whatever action (including signing assignment or other documents) we request to evidence our ownership of such Digital Presence, or to help us obtain exclusive rights and administrative control over such Digital Presence. You also agree to use any supplier we designate to manage any and all Digital Presences associated with your Shop and/or our System, including that we may require you to engage a supplier we have designated or approved to manage content and/or comments and responses on any and all Digital Presences, including comments and responses to customers of your Shop.

10. RECORDS, REPORTS, AND FINANCIAL STATEMENTS.

You must use the Computer System to maintain certain sales and other financial data, customer information, and other information we designate. You agree that we will have access to your Computer System at all times and that you must ensure that we and our designees have the right to access, collect, and retain from the Computer System any and all data concerning your Shop, other than the software you use to maintain payroll and other human resource files. At our request, you agree to sign a release with any supplier of your Computer System, providing us and our designees with such access to the Computer System as we may request from time to time. If such supplier is not willing to grant independent access for any reason, you agree to provide us and our designees access to your Computer System through your account and/or administrator privileges we specify.

You agree to conduct all bookkeeping, accounting, and recordkeeping for your Shop using the software and other products and services we designate and/or approve from time to time, and conforming to the requirements, specifications, and formats we prescribe from time to time. Without limiting the foregoing, you agree that we may periodically require you to use a standard chart of accounts for your Shop's accounting and bookkeeping records, and if we do so, you agree to use all standard chart of accounts, ledgers, and similar organizational and standardized methods of recording your Shop's financial performance and profits, losses, assets, revenue, and expenses. We may modify our requirements for your Shop's bookkeeping, accounting, and recordkeeping from time to time and you agree to comply with all of our System Standards for bookkeeping, accounting, and recordkeeping.

You agree to deliver to us such financial records, including profit and loss statements, operating statements, cash flow statements, statistical reports, bank activity reports, tax records, and such other records we request, at the intervals and in the formats we specify. We may modify our requirements for the types, formats, specifications, and methods for your reports and financial statements from time to time. You agree to verify and sign each report and financial statement in the manner we prescribe. We may use and/or disclose these reports and/or any data derived from these reports, as we determine in our sole discretion.

Source: Item 23 — RECEIPTS (FDD pages 61–192)

What This Means (2025 FDD)

According to Cream's 2025 Franchise Disclosure Document, franchisees must adhere to specific guidelines if they operate a Digital Presence for their shop. Cream must approve any Digital Presence the franchisee uses. If Cream approves a Digital Presence, the franchisee must develop and maintain it according to Cream's guidelines, which include guidelines for posting messages or commentary on third-party websites and maintaining an online privacy policy. Cream retains ownership of each Digital Presence managed by the franchisee unless otherwise specified. Cream also requires access to each Digital Presence and can request the franchisee to take action to evidence Cream's ownership or help Cream obtain exclusive rights and administrative control over the Digital Presence. Cream may also require franchisees to use a designated supplier to manage all Digital Presences, including content, comments, and responses to customer comments.

Cream also outlines requirements for handling Personal Information. Franchisees must process, retain, use, collect, and disclose all Personal Information in strict accordance with all applicable laws, regulations, orders, the guidance and codes of practice issued by industry or regulatory agencies, and the privacy policies and terms and conditions of any applicable Digital Presence. Franchisees must assist Cream in meeting its compliance obligations under all applicable laws, regulations, and orders relating to Personal Information, including the guidance and codes of practice issued by industry or regulatory agencies. Franchisees must promptly notify Cream of any communication or request from any customer or other person to access, correct, delete, opt-out of, or limit activities relating to any Personal Information.

If a franchisee becomes aware of a suspected or actual breach of security or unauthorized access involving Personal Information, they must notify Cream immediately and specify the extent to which Personal Information was compromised or disclosed. Franchisees must also follow Cream's instructions regarding curative actions and public statements relating to the breach. Cream reserves the right to conduct a data security and privacy audit of any franchisee's shop and computer systems to ensure compliance with Cream's requirements. Franchisees have sole and exclusive responsibility for Restricted Data, including establishing protections and safeguards for such Restricted Data; provided, that in each case franchisees agree to comply with all applicable laws, regulations, orders, and the guidance and codes of practice issued by industry or regulatory agencies applicable to such Restricted Data.

These stipulations ensure that Cream maintains control over its brand's online presence and that customer data is handled securely and in compliance with applicable laws. For a prospective franchisee, this means they must be prepared to relinquish control over their shop's online presence to Cream and adhere to strict data handling policies. It is important to understand the full scope of these requirements and the potential costs associated with compliance before investing in a Cream franchise.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.