What action must an Apricot Lane Associate take before disclosing Confidential Information in judicial or administrative proceedings?
Apricot_Lane Franchise · 2025 FDDAnswer from 2025 FDD Document
the disclosure of the Confidential Information in judicial or administrative proceedings to the extent that Associate is legally compelled to disclose the information, if Associate has notified the Franchisor before disclosure and used Associate's best efforts, and afforded the
Franchisor the opportunity, to obtain an appropriate protective order or other assurance satisfactory to the Franchisor of confidential treatment for the information required to be so disclosed.
Source: Item 23 — RECEIPTS (FDD pages 51–222)
What This Means (2025 FDD)
According to Apricot Lane's 2025 Franchise Disclosure Document, an Apricot Lane Associate must notify the Franchisor before disclosing Confidential Information in judicial or administrative proceedings. Additionally, the Associate must use their best efforts and provide Apricot Lane the opportunity to obtain a protective order or other assurance that the information will be treated confidentially.
This requirement ensures that Apricot Lane has the chance to protect its confidential information, even when an Associate is legally compelled to disclose it. By notifying Apricot Lane and cooperating to secure a protective order, the Associate helps to minimize the potential harm to Apricot Lane's business interests.
This type of clause is standard in franchise agreements to protect the franchisor's proprietary information and trade secrets. It balances the Associate's legal obligations with Apricot Lane's need to maintain confidentiality. Prospective franchisees should understand that they have a responsibility to protect Apricot Lane's confidential information, even in legal proceedings, and must follow the procedures outlined in the agreement.