Can a franchisee's affiliates access Guest Information for The Standardx?
The_Standardx Franchise · 2025 FDDAnswer from 2025 FDD Document
You may use the Guest Information, and certain other information and data relating to guests and customers of other Brand Hotels and/or other Hyatt Network Hotels that we periodically specify, during the Franchise Agreement's term only to market to and provide services to the Hotel's guests and potential guests in compliance with the System Standards and all applicable laws, rules and regulations. You must ensure that your affiliates may not access, and neither you nor any of your affiliates may use, any of that Guest Information or that other information or data in any other business or capacity. However, following the Franchise Agreement's expiration or termination, , you may use, and allow your affiliates and others to use, any Guest Information that was generated at the Hotel (and that we or our affiliate did not supply to the Hotel) during the guest's stay at the Hotel and stored in the Hotel's property management system database in any manner that you deem appropriate (subject to applicable law) at your own risk, if you comply, and ensure that any recipients of that Guest Information from you comply, with our then current policies and procedures regarding the collection, storage, use, processing and transfer of personal and/or financial data. If there is an actual or suspected breach of security or unauthorized access of Guest Information or other information from the Hotel's property management system or other computer system database, you must notify us promptly and we may require you to use a third party supplier we designate, at your sole cost and expense, to review and if necessary, remediate that breach or unauthorized access. You must not take any action that could jeopardize our or our affiliate's ability to comply with, or make certifications under, any law, regulation, contract, program or policy related to Guest Information (including privacy laws, privacy notices and PCI certifications) and applicable to us or our affiliate.
Source: Item 14 — PATENTS, COPYRIGHTS AND PROPRIETARY INFORMATION (FDD pages 68–71)
What This Means (2025 FDD)
According to The Standardx's 2025 Franchise Disclosure Document, a franchisee's affiliates are generally restricted from accessing Guest Information. The FDD specifies that franchisees may use Guest Information to market to and provide services to the Hotel's guests, but they must ensure that their affiliates do not access or use this information in any other business or capacity during the term of the Franchise Agreement. This restriction is in place to protect the confidentiality and proprietary nature of the Guest Information, which The Standardx considers part of its Confidential Information. Guest Information includes data relating to the Hotel's guests and customers, such as names, preferences, and purchase history.
However, there is an exception to this rule after the Franchise Agreement expires or is terminated. At that point, the franchisee and their affiliates may use Guest Information generated at the Hotel (and not supplied by The Standardx or its affiliate) during a guest's stay, provided they comply with The Standardx's policies and procedures regarding data collection, storage, use, processing, and transfer. This allowance is subject to applicable law and at the franchisee's own risk.
The Standardx retains the right to access the Hotel's property management system to retrieve Guest Information and use it as they deem appropriate, subject to applicable law. Franchisees must also promptly notify The Standardx of any security breaches or unauthorized access to Guest Information and may be required to use a third-party supplier to remediate the issue at their own expense. Overall, The Standardx maintains strict control over Guest Information to protect its brand and customer data, with limited exceptions for franchisees after the agreement's termination.