What laws pertaining to privacy must a Dollar Rent A Car franchisee comply with?
Dollar_Rent_A_Car Franchise · 2025 FDDAnswer from 2025 FDD Document
s to comply with the Executive Order.
- You must comply with all applicable laws pertaining to the privacy of consumer, employee and transactional information, including the "Standards for Safeguarding Customer Information," dated May 23, 2002, issued by the Federal Trade Commission (the "Safeguards Rule"). The Safeguards Rule applies to businesses, regardless of size, that are "significantly engaged" in providing financial products or services to consumers. This includes non-bank lenders such as car sales businesses. In addition to developing their own safeguards, covered entities are responsible for taking steps to ensure that their affiliates and service providers safeguard customer information in their care. The Safeguards Rule is posted at www.ftc.gov/privacy/glbact.
- The National Association of Attorneys General issued a final report containing guidelines and recommendations regarding car rental industry advertising and practices on March 14, 1989 ("NAAG Guidelines").
Source: Item 1 — THE FRANCHISOR AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 9–20)
What This Means (2025 FDD)
According to the 2025 Dollar Rent A Car Franchise Disclosure Document, franchisees must comply with all applicable laws pertaining to the privacy of consumer, employee, and transactional information. This includes adherence to the "Standards for Safeguarding Customer Information," issued by the Federal Trade Commission (FTC), also known as the "Safeguards Rule," dated May 23, 2002. The Safeguards Rule applies to businesses significantly engaged in providing financial products or services to consumers, including non-bank lenders such as car sales businesses.
Under the Safeguards Rule, Dollar Rent A Car franchisees are responsible for developing their own safeguards to protect customer information. Additionally, they must ensure that their affiliates and service providers also safeguard customer information in their care. The FTC posts the Safeguards Rule at www.ftc.gov/privacy/glbact.
Furthermore, franchisees must be aware of state-level data and customer privacy laws that may apply to their operations. These laws may include specific notification requirements in the event of a data breach, as well as granting consumers rights to (i) know what personal information is collected, (ii) request deletion of personal data, and (iii) opt out of the sale of any personal data. Therefore, it is crucial for prospective Dollar Rent A Car franchisees to understand and comply with both federal and state regulations regarding data privacy to protect consumer information and avoid potential legal issues.