What is the definition of 'Restricted Persons' in the context of Angry Chickz's Confidential Information?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
12.2.1 Restricted Persons may have access to proprietary and trade secret information, including the Confidential Information, Standards, recipes, secret ingredients, procedures, concepts and methods and techniques of developing and operating a Restaurant and producing Authorized Products. Company may disclose certain of its Confidential Information to Restricted Persons in the Manual(s), bulletins, supplements, confidential correspondence, or other
Source: Item 22 — CONTRACTS (FDD page 54)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, the Angry Chickz franchise agreement refers to 'Restricted Persons' in the context of confidential information and non-competition. While the FDD mentions 'Restricted Persons' having access to confidential information, it does not explicitly define who qualifies as a 'Restricted Person.' However, the document does state obligations and restrictions placed upon them.
According to the franchise agreement, Restricted Persons may have access to proprietary and trade secret information such as recipes, secret ingredients, procedures, concepts, methods, and techniques for operating an Angry Chickz restaurant. Angry Chickz may disclose confidential information to Restricted Persons in manuals, bulletins, supplements, and other confidential communications.
During the term of the franchise agreement, Restricted Persons are prohibited from engaging in any competitive activities, diverting business or customers, or performing any act that is injurious to the goodwill associated with the Angry Chickz marks. After the agreement expires or terminates, a Restricted Person is restricted from engaging in competitive activities within the Protected Area or within a 10-mile radius of any existing Angry Chickz restaurant for a period of 24 months.
Because the definition of "Restricted Persons" is not provided, a prospective Angry Chickz franchisee should seek clarification from the franchisor regarding who is included in this category (e.g., owners, managers, employees) and what specific obligations and restrictions apply to them.