For what purpose can a Desi District franchisee use the licensed customer data?
Desi_District Franchise · 2024 FDDAnswer from 2024 FDD Document
- 11.5 Business Data. All customer data and other non-public data generated by the Business is Confidential Information and is exclusively owned by Desi District Franchise Group.
Desi District Franchise Group hereby licenses such data back to Franchisee without charge solely for Franchisee's use in connection with the Business for the term of this Agreement.
Source: Item 22 — CONTRACTS (FDD page 52)
What This Means (2024 FDD)
According to Desi District's 2024 Franchise Disclosure Document, all customer data generated by the business is considered confidential information and is exclusively owned by Desi District Franchise Group. However, Desi District licenses this data back to the franchisee.
The franchisee's use of this licensed data is specifically limited to activities connected with operating the Desi District business during the term of the Franchise Agreement. This means a franchisee can use the data for purposes such as marketing to existing customers, managing customer relationships, and analyzing sales trends to improve their business operations, but only as it pertains to their Desi District franchise.
It is important to note that the franchisee's right to use this data is contingent upon the continuation of the Franchise Agreement. Upon termination of the agreement, the franchisee's license to use the customer data also ends. Additionally, the franchisee must adhere to Desi District's procedures for maintaining the confidentiality of this information and can only disclose it to employees to the extent necessary for business operation. The franchisee is prohibited from using the data for any other business or in any manner not specifically authorized by Desi District in writing.