Can Del Taco use the data provided by a franchisee in any manner it deems appropriate?
Del_Taco Franchise · 2025 FDDAnswer from 2025 FDD Document
All data provided by Franchisee in any form, and whether required by this Section 7.5 or any other requirement under the System or in the Manuals, including data uploaded to Del Taco's computer system from the Franchisee's Technology System, and/or downloaded from the Franchisee's Technology System to Del Taco's computer system, is and will be owned exclusively by Del Taco, including without limitation, Customer Data (described in Section 5.16 above), customer lists and e mail lists, and Del Taco will have the right to use such data in any manner that Del Taco deems appropriate without compensation to Franchisee.
In addition, all other data created or collected by Franchisee in connection with the System, or in connection with Franchisee's operation of the business (including but not limited to consumer and transaction data), is and will be owned exclusively by Del Taco during the term of, and following termination or expiration of, this Agreement.
Copies and/or originals of such data must be provided to Del Taco upon Del Taco's request.
Del Taco hereby licenses use of such data back to Franchisee, at no additional cost, solely for the term of this Agreement and solely for Franchisee's use in connection with the business franchised under this Agreement.
Del Taco may use all such information, data, and reports in any manner, including, without limitation, providing financial and operating reports to franchisees and operators operating under the System, preparing franchise disclosure documents, and providing information to prospective franchisees, and/or in complying with government regulations.
Source: Item 22 — CONTRACTS (FDD pages 58–59)
What This Means (2025 FDD)
According to Del Taco's 2025 Franchise Disclosure Document, Del Taco has extensive rights regarding data provided by franchisees. All data provided by a franchisee, whether required by the System or in the Manuals, including data uploaded to Del Taco's computer system from the Franchisee's Technology System, is owned exclusively by Del Taco. This includes Customer Data, customer lists, and email lists.
Del Taco has the right to use this data in any manner it deems appropriate without providing any compensation to the franchisee. Furthermore, all other data created or collected by the franchisee in connection with the System or the operation of the business, such as consumer and transaction data, is also owned exclusively by Del Taco during the term of the agreement and even after its termination or expiration. Del Taco may request copies or originals of such data from the franchisee.
While Del Taco licenses the use of such data back to the franchisee at no additional cost, this is solely for the term of the Franchise Agreement and only for use in connection with the franchised business. Del Taco retains the right to use all such information, data, and reports in any manner, including providing financial and operating reports to other franchisees and operators within the System, preparing franchise disclosure documents, providing information to prospective franchisees, and complying with government regulations. This broad authority gives Del Taco significant control over the data generated within its franchise network.