Does the Apricot Lane Franchise Agreement define 'Trade Secrets'?
Apricot_Lane Franchise · 2025 FDDAnswer from 2025 FDD Document
- (h) "Trade Secret(s)" shall mean information, including a customer lists, pattern, compilation, program, device, method, technique or process related to the Franchise Business that both derives independent economic value, actual or potential, from not being generally known to, and not being readily ascertainable by proper means by other persons who can obtain economic value from its disclosure or use and is the subject of efforts that are reasonable under the circumstances to maintain its secrecy.
Source: Item 23 — RECEIPTS (FDD pages 51–222)
What This Means (2025 FDD)
According to Apricot Lane's 2025 Franchise Disclosure Document, the Franchise Agreement does define 'Trade Secrets'. The document specifies that Trade Secrets include information related to the Franchise Business, such as customer lists, patterns, compilations, programs, devices, methods, techniques, or processes. This information derives independent economic value from not being generally known or easily ascertainable by others who could gain economic value from its disclosure or use. Furthermore, Apricot Lane takes reasonable measures to maintain the secrecy of this information.
The agreement emphasizes that the Confidential Information and Trade Secrets developed and utilized in connection with operating an Apricot Lane franchise are unique and the exclusive property of the franchisor or its affiliates. Unauthorized disclosure or use of this information is considered wrongful and would cause irreparable harm to Apricot Lane or its affiliates. This highlights the importance Apricot Lane places on protecting its proprietary information and the potential legal ramifications for franchisees who violate these confidentiality terms.
The definition of 'Trade Secrets' extends beyond just the initial information provided. It also includes any further developments made by Apricot Lane over time. This means that franchisees are obligated to protect not only the original trade secrets but also any new information or processes that are introduced during the term of the franchise agreement. This ongoing obligation ensures that Apricot Lane can continue to innovate and improve its system while maintaining the confidentiality of its most valuable assets. The franchisee's obligations regarding trade secrets extend even after the termination of the franchise agreement, as long as the information remains a trade secret.