What independent economic value must a 'Trade Secret' have for an Apricot Lane franchise?
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, a 'Trade Secret' must derive independent economic value, whether actual or potential. This value stems from the information not being generally known or easily discoverable through proper means by others who could obtain economic value from its disclosure or use. Additionally, Apricot Lane must make reasonable efforts to maintain the secrecy of this information. This definition is crucial for franchisees to understand their obligations regarding confidential information.
This definition includes various types of information related to the franchise business, such as customer lists, patterns, compilations, programs, devices, methods, techniques, or processes. The economic value is tied to the competitive advantage that Apricot Lane gains from keeping this information secret. This means that the information provides a tangible benefit to the company by not being available to competitors.
For a prospective Apricot Lane franchisee, this means they are entrusted with valuable information that is not publicly available and contributes to the brand's success. They are obligated to protect this information and prevent its unauthorized disclosure or use. Failure to do so could result in legal repercussions and damage to the Apricot Lane brand. Franchisees should be aware of the measures Apricot Lane takes to protect its trade secrets and adhere to these practices diligently.