factual

What is a Dog Haus franchisee's obligation regarding the confidentiality of Dog Haus data?

Dog_Haus Franchise · 2025 FDD

Answer from 2025 FDD Document

d by Franchisor in obtaining, without the posting of any bond, an ex parte or other order for injunctive or other legal or equitable relief with respect to the requirements of this Article 11.

  • 11.5 Confidentiality Covenants from Individuals Associated with Franchisee. Franchisee shall require any supervisorial or managerial personnel who may have access to any Dog Haus Confidential Information of Franchisor to execute covenants that they will maintain the confidentiality of the Dog Haus Confidential Information they receive in connection with their association with Franchisee. Such covenants shall be in a form satisfactory to Franchisor, including, without limitation, specific identification of Franchisor as a third-party beneficiary of such covenants with the independent right to enforce them.
  • 11.6 Dog Haus Data. All data pertaining to the Franchised Restaurant and all data created or collected by Franchisee in connection with Franchisee's operation of the Franchised Restaurant, including, without limitation, data pertaining to, or otherwise concerning, the Franchised Restaurant's customers and other pertinent data about the Franchised Restaurant collected by Franchisee, including, without limitation, data uploaded to, or downloaded from Franchisee's computer system or data uploaded, downloaded, or created using any artificial intelligence program (collectively "Dog Haus Data") is Dog Haus Confidential Information and is the sole property of Franchisor. Franchisor shall have the right to review and use the Dog Haus Data in any manner that Franchisor deems appropriate without any compensation to Franchisee. Franchisee shall provide Franchisor with copies and/or originals of the Dog Haus Data within five (5) days after Franchisor's request for the Dog Haus Data at no cost to Franchisor and at any time during the Term and upon the expiration and/or termination of this Agreement.

Source: Item 14 — PATENTS, COPYRIGHTS AND PROPRIETARY INFORMATION (FDD pages 60–61)

What This Means (2025 FDD)

According to Dog Haus's 2025 Franchise Disclosure Document, franchisees have specific obligations regarding the confidentiality and use of Dog Haus Data. Dog Haus Data includes all data pertaining to the franchised restaurant and any data created or collected by the franchisee in connection with the restaurant's operation, such as customer data and data uploaded to or created using any artificial intelligence program. This data is considered Dog Haus Confidential Information and is the sole property of the franchisor.

The franchisee must maintain Dog Haus Data as secret and confidential during the term of the agreement and cannot make it available to any unauthorized person without prior written consent from Dog Haus. Dog Haus licenses the use of this data to the franchisee, at no cost, solely for use in connection with the franchised restaurant. Dog Haus has the right to review and use the Dog Haus Data in any manner it deems appropriate without compensating the franchisee.

Furthermore, the franchisee is required to provide Dog Haus with copies or originals of the Dog Haus Data within five days of the franchisor's request, at no cost to Dog Haus, both during the term of the agreement and upon its expiration or termination. This obligation ensures that Dog Haus retains control and ownership of the data, which is crucial for maintaining the integrity and competitive advantage of the Dog Haus system. Franchisees must also ensure that their supervisorial or managerial personnel who have access to Dog Haus Confidential Information execute confidentiality covenants in a form satisfactory to Dog Haus.

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.