factual

What section in the Apricot Lane FDD discusses the definition of confidential information?

Apricot_Lane Franchise · 2025 FDD

Answer from 2025 FDD Document

SECTION 7: PROPRIETARY MARKS15
A. Ownership of the Marks15
B. Use of Marks15
C. Notice of Claim16
D. Modification and/or Discontinuation of Marks 16
E. Right of Entry 16 SECTION 8: CONFIDENTIAL OPERATIONS MANUAL16
A. Confidential Operations Manual16
B. Manual Format17
C. Ownership17
D. Confidentiality 17
E. Disputes17 SECTION 9: CONFIDENTIAL INFORMATION 17
A. Definition of Confidentiality17
B. Use and Restrictions of Confidential Information 18
C. FRANCHISEE's Employees18
D. Remedies18
E. Restrictions After Termination and/or Expiration 18 SECTION 10: MODIFICATION OF THE SYSTEM18
A. Maintenance of Premises18
B. Changes to Business and System Modifications 19 SECTION 11: MARKETING AND ADVERTISING20
A. Grand Opening Marketing and Public Relations20
B. Marketing, Advertising and Development Fund 20
C. Local Advertising21
D. FRANCHISOR Prior Approval of Promotional Materials22
E. Submittal of Local Advertising Accounting22
F. Advertising Coverage Area22
G. FRANCHISOR Originated Special Promotional Items22
H. Use of Registered Marks23
I. Innovations23
J. System Websites (or Digital Presence) and Electronic Marketing and Advertising SECTION 12: ROYALTY 24 23
A. Royalty24
B. Semi-Monthly

Source: Item 23 — RECEIPTS (FDD pages 51–222)

What This Means (2025 FDD)

According to the 2025 Apricot Lane FDD, Section 9, titled "Confidential Information," specifically subsection A, "Definition of Confidentiality," addresses the definition of confidential information. This section clarifies that the franchisee's understanding of operating the Apricot Lane business is based on proprietary information disclosed by the franchisor, which is considered confidential and a trade secret.

The FDD broadly defines "Confidential Information" to include any information, knowledge, and know-how related to the business. This includes drawings, materials, equipment, techniques, retail business systems, product display procedures, customer lists, customer data, vendor lists, merchandise lists, and any other data the franchisor designates as confidential. The only exceptions are information the franchisee already possessed lawfully before disclosure or information that was already publicly available.

This definition is crucial for prospective franchisees because it outlines the scope of information they must protect. It also highlights the importance of maintaining confidentiality both during the franchise term and after its expiration or termination. Understanding this definition helps franchisees recognize their obligations and avoid potential legal issues related to misuse or disclosure of confidential information.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.