What is a Face Foundrie franchisee obligated to do to protect customer information during the term of the agreement?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
d disclosure, copying or use. At any time upon Franchisor's request, and in any event upon expiration or termination of this Agreement, Franchisee will immediately return any copies of documents where there are materials containing Confidential Information and will take appropriate steps to permanently delete and render unusable any Confidential Information stored electronically.
- 7.03 Data and Customers. In addition to the obligations set forth in Sections 7.01 and 7.02 above, Franchisee: (a) shall not reproduce, release or in any way make available or furnish, either directly or indirectly, to any person or Entity at any time, any information concerning the customers of Franchisee under this Agreement, which may be used to solicit sales from such customers including, but not limited to, the type of sales covered by this Agreement; (b) shall protect all said customer information from disclosure, destruction, loss or theft during the Term of this Agreement and until all copies of customer lists and copies of all other information concerning customers are turned over to Franchisor; (c) agrees not to use or permit to be used said information concerning Franchisee's customers in any manner except in the performance of this Agreement; and (d) shall at all times maintain any information, including lists, relating to the customers of Franchisee separate and distinct from any customer information Franchisee may maintain that is unrelated to this Agreement.
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2025 FDD)
According to the 2025 Face Foundrie Franchise Disclosure Document, franchisees have specific obligations regarding the protection of customer information. Face Foundrie requires franchisees to protect all customer information from disclosure, destruction, loss, or theft during the term of the Franchise Agreement. This obligation extends until all copies of customer lists and other information concerning customers are turned over to Face Foundrie. Franchisees must also maintain customer information separately from any other customer information they may possess that is unrelated to the Franchise Agreement.
Furthermore, franchisees are prohibited from reproducing, releasing, or making available any customer information to any person or entity if it could be used to solicit sales from those customers. The only permissible use of customer information is in the performance of the Franchise Agreement itself. This ensures that franchisees do not exploit customer data for purposes outside the scope of the franchise relationship, such as starting a competing business or selling the data to third parties.
In addition to these specific requirements, Face Foundrie franchisees must take appropriate steps to protect Confidential Information from any unauthorized disclosure, copying, or use. This includes the customer data, which Face Foundrie considers part of its Confidential Information. Upon termination or expiration of the Franchise Agreement, franchisees must return any copies of documents containing Confidential Information and permanently delete any Confidential Information stored electronically. These measures are designed to safeguard Face Foundrie's proprietary information and maintain customer privacy.