Who is responsible for maintaining the security and integrity of the computer and payment processing systems used in my Fly Fitness franchise?
Fly_Fitness Franchise · 2024 FDDAnswer from 2024 FDD Document
- 12.3.8.
Franchisee is solely responsible for maintaining the security and integrity of the computer and payment processing systems used in the Franchised Business and the customer and other data stored therein.
Franchisee, at Franchisee's sole cost and expense, shall implement all computer hardware, software, and Internet security procedures, including required updates or upgrades thereto, that are reasonably necessary to protect Franchisee's computer and payment processing systems and the data stored therein from viruses, malware, privacy breaches or other unauthorized access.
Source: Item 22 — CONTRACTS (FDD pages 44–45)
What This Means (2024 FDD)
According to Fly Fitness's 2024 Franchise Disclosure Document, the franchisee is solely responsible for maintaining the security and integrity of the computer and payment processing systems used in their franchised business. This includes the customer and other data stored within those systems. This means that as a Fly Fitness franchisee, you will bear the responsibility for ensuring that your computer and payment processing systems are secure and protected.
To protect these systems, the FDD states that the franchisee, at their sole cost and expense, must implement all computer hardware, software, and Internet security procedures. This includes any required updates or upgrades that are reasonably necessary to protect the computer and payment processing systems. The goal is to safeguard the data stored within these systems from viruses, malware, privacy breaches, or other unauthorized access.
This requirement is fairly standard in franchising, as franchisors typically do not want to be held liable for data breaches or security issues that occur at individual franchise locations. It is important for prospective Fly Fitness franchisees to understand this responsibility and budget accordingly for the necessary security measures. Franchisees should consult with IT professionals to ensure they have adequate protection in place.