What form must the non-disclosure and non-competition agreement be in for All States M.E.D.?
All_States_M_E_D Franchise · 2024 FDDAnswer from 2024 FDD Document
Franchisor has the right to require any holder of a legal or beneficial interest in Franchisee, and any officer, director, executive, manager or member of the professional staff and all employees of Franchisee to execute a nondisclosure and non-competition agreement, in a form the same as or similar to the Nondisclosure and Non-Competition Agreement attached as Schedule 2, upon execution of this Agreement or prior to each such person's affiliation with Franchisee. Upon Franchisor's request, Franchisee shall provide Franchisor with copies of all nondisclosure and non-competition agreements signed according to this Section. Such agreements shall remain on file at the business of Franchisee and are subject to audit or review as otherwise stated here. Franchisor shall be a third-party beneficiary with the right to enforce covenants contained in such agreements.
Source: Item 23 — RECEIPTS (FDD pages 44–174)
What This Means (2024 FDD)
According to the 2024 All States M.E.D. Franchise Disclosure Document, All States M.E.D. has the right to require any holder of legal or beneficial interest in the franchisee, and any officer, director, executive, manager, member of the professional staff and all employees of the franchisee to execute a nondisclosure and non-competition agreement.
The agreement must be in a form the same as or similar to the Nondisclosure and Non-Competition Agreement attached as Schedule 2 of the Franchise Agreement. This agreement must be executed upon the execution of the Franchise Agreement or prior to each such person's affiliation with the franchisee.
All States M.E.D. requires that the franchisee provide them with copies of all nondisclosure and non-competition agreements signed. These agreements must remain on file at the franchisee's business and are subject to audit or review. All States M.E.D. is a third-party beneficiary with the right to enforce the covenants contained in these agreements.