What is the obligation of someone holding a position with an Angry Chickz franchisee regarding confidential information?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
I will hold in strict confidence all information designated by the Franchisor or the Franchisee as confidential, and I will disclose and/or use the confidential information only in connection with my duties as required by my position with the Franchisee.
My undertaking not to disclose confidential information is a condition of my position with the Franchisee, and continues even after I cease to be in that position.
While in my position with the Franchisee, I will not do anything which may injure the Franchisee or the Franchisor, such as: (a) divert or attempt to divert actual or prospective customers of the Franchisee to any other person or entity; or (b) do or perform, directly or indirectly, any other act injurious or prejudicial to the goodwill associated with Franchisor's intellectual property.
While in my position with the Franchisee, I will not own (either beneficially or of record), engage in or render services to, whether as an investor, partner, lender, director, officer, manager, employee, consultant, representative or agent, any restaurant or business that (i) specializes in developing, owning, operating or franchising restaurants 25% or more of whose gross sales is derived from the sale of boneless breaded chicken; (ii) any business engaged in the preparation, production or sale, at wholesale, of any boneless breaded chicken food products; or (iii) any restaurant or business that looks like, copies, imitates, operates with similar trade dress or décor, or is otherwise substantially the same as or similar to Angry Chickz Restaurants.
This restriction does not apply to my ownership of less than a five percent (5%) beneficial interest in the outstanding securities of any publicly-held corporation.
Source: Item 23 — RECEIPTS (FDD pages 54–260)
What This Means (2025 FDD)
According to the 2025 Angry Chickz Franchise Disclosure Document, individuals holding positions with an Angry Chickz franchisee have specific obligations regarding confidential information. They must maintain strict confidentiality of all information designated as such by either Angry Chickz Franchising LLC or the franchisee. This confidential information can only be disclosed or used in connection with their duties within the franchise.
This obligation to protect confidential information is a condition of their employment and continues even after they no longer hold a position with the franchisee. This means that even after an employee leaves, they are still legally bound to not disclose or misuse any confidential information they gained during their time with the Angry Chickz franchise.
Furthermore, while employed by the Angry Chickz franchisee, individuals must not engage in any actions that could harm the franchisee or Angry Chickz Franchising LLC. This includes refraining from diverting customers to other businesses or engaging in activities that could damage the goodwill associated with Angry Chickz's intellectual property. These measures are in place to protect the brand and the franchisee's business interests.
Additionally, individuals in these positions are restricted from owning, engaging in, or providing services to any restaurant or business that specializes in boneless breaded chicken, prepares or sells boneless breaded chicken at wholesale, or closely resembles an Angry Chickz restaurant. This restriction applies unless they own less than 5% of the securities of a publicly-held corporation. This non-compete clause is designed to prevent individuals with knowledge of Angry Chickz's operations from using that knowledge to benefit a competing business.