Are there any exceptions to the confidentiality obligations regarding the Bananas Smoothies Frozen Yogurt System?
Bananas_Smoothies_Frozen_Yogurt Franchise · 2025 FDDAnswer from 2025 FDD Document
Confidants accordingly agree that they shall not, at any time during the term of this Agreement or after termination, expiration or non-renewal of this Agreement, without Franchisor's prior written consent, disclose (except to such employees or agents as must have access to such information in order to construct or operate the restaurant) or use, or permit the use of, the System or any part thereof, except as may be required by applicable law or as authorized by this Agreement.
Source: Item 23 — RECEIPT (FDD pages 58–231)
What This Means (2025 FDD)
According to the 2025 Bananas Smoothies Frozen Yogurt FDD, franchisees and their confidants (employees or agents) have confidentiality obligations regarding the Bananas Smoothies Frozen Yogurt System, but there are specific exceptions. Franchisees can disclose confidential information to their employees or agents who need access to it to construct or operate the restaurant. This allows franchisees to run their business effectively while still protecting sensitive information.
Another exception is disclosures required by applicable law or authorized by the franchise agreement. This acknowledges that franchisees may be legally obligated to reveal certain information, and the franchise agreement itself may permit specific disclosures. However, any other unauthorized use or disclosure of the Bananas Smoothies Frozen Yogurt's confidential information is strictly prohibited, both during the term of the agreement and after its termination or expiration.
These confidentiality obligations extend to the Confidential Operations & Training Manual, other designated materials, trade secrets, and know-how related to the restaurant's construction or operation. Franchisees must diligently protect this information. The FDD emphasizes that unauthorized disclosure can cause significant harm to Bananas Smoothies Frozen Yogurt, reinforcing the importance of adhering to these confidentiality terms.