Does Kidokinetics guarantee that its designated information or communication systems will not be vulnerable to E-Problems?
Kidokinetics Franchise · 2024 FDDAnswer from 2024 FDD Document
Computer systems are vulnerable in varying degrees to computer viruses, bugs, power
disruptions, communication line disruptions, internet access failures, internet content failures and similar problems, and attacks by hackers and other unauthorized intruders ("E-Problems"). We have taken reasonable steps so that E-Problems will not materially affect our business. We do not guarantee that information or communication systems that we designate and/or we or others supply will not be vulnerable to E-Problems. It is your responsibility to protect yourself from E-Problems. You should also take reasonable steps to verify that your suppliers, lenders, landlords, and governmental agencies on which you rely, have reasonable protection from E-Problems. This may include taking reasonable steps to secure your systems (including firewalls, password protection and anti-virus systems) and to provide backup systems.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 26–34)
What This Means (2024 FDD)
According to Kidokinetics' 2024 Franchise Disclosure Document, Kidokinetics does not guarantee that its designated information or communication systems will be free from vulnerabilities to E-Problems. E-Problems are defined as computer viruses, bugs, power disruptions, communication line disruptions, internet access failures, internet content failures, and attacks by hackers or other unauthorized intruders. Kidokinetics states that while they have taken reasonable steps to minimize the impact of E-Problems on their business, they do not guarantee complete invulnerability.
As a Kidokinetics franchisee, it is your responsibility to protect your business from E-Problems. This includes taking reasonable steps to secure your systems with firewalls, password protection, and anti-virus systems, as well as providing backup systems. Additionally, Kidokinetics recommends verifying that your suppliers, lenders, landlords, and governmental agencies also have reasonable protection from E-Problems.
This disclaimer is a common practice in franchising, as franchisors cannot fully control the technology environment of each franchisee. It highlights the importance of franchisees taking proactive measures to protect their own systems and data. Prospective franchisees should carefully consider the costs and efforts associated with implementing and maintaining adequate cybersecurity measures.