Is GIFT responsible for determining whether transactions are fraudulent, improper, or otherwise unauthorized for Dq Treat?
Dq_Treat Franchise · 2025 FDDAnswer from 2025 FDD Document
GIFT is not responsible for determining whether transactions are fraudulent, improper or otherwise unauthorized.
SECTION F: PARTICIPATING LOCATION RESPONSIBILITIES.
1. In connection with Participating Location's use of the PARPay Services, Participating Location will be responsible for the following:
- b. all Participating Location PARPay Data that is "Gift Credit/Debit Card Masked data";
- c. implementing, monitoring, and managing Participating Location's Store Network and Participating Location's Corporate Network, including all Payment Card Industry Data Security Standards (PCI-DSS) related controls and activities for these networks;
- d. not storing/recording "Gift/Credit/Debit Card Unmasked Data;"
- e. bearing all risk related to the loss or theft of, alteration or damage to, or fraudulent, improper or unauthorized use of any Gift/Credit/Debit Card, Gift/Credit/Debit Card Number or personal identification number in the case of Gift/Credit/Debit Cards by an employee, agent or sub-contractor of Participating Location;
Source: Item 17 — The following paragraph is added to the end of Item 17 of the Disclosure Document: (FDD pages 70–378)
What This Means (2025 FDD)
According to Dq Treat's 2025 Franchise Disclosure Document, GIFT (First Data Resources, LLC, successor in interest to Gift Solutions LLC) is not responsible for determining whether transactions are fraudulent, improper, or otherwise unauthorized. Instead, Dq Treat franchisees bear the risk related to fraudulent, improper, or unauthorized use of any Gift/Credit/Debit Card by an employee, agent, or sub-contractor of the Participating Location.
Specifically, the franchisee is responsible for all Participating Location PARPay Data that is "Gift Credit/Debit Card Masked data" and for implementing, monitoring, and managing the store and corporate networks, including all Payment Card Industry Data Security Standards (PCI-DSS) related controls and activities for these networks. Franchisees are also prohibited from storing/recording "Gift/Credit/Debit Card Unmasked Data."
This means that Dq Treat franchisees must implement robust security measures and internal controls to prevent fraud and unauthorized transactions. They are also responsible for training their employees and subcontractors on proper card handling procedures and security protocols. The franchisee will likely need to cover any losses resulting from fraudulent or unauthorized transactions, highlighting the importance of vigilance and adherence to security best practices.