Does the Bang Cookies Franchise Agreement constitute an employment agreement?

According to Bang Cookies' 2024 Franchise Disclosure Document, the Confidentiality Agreement that a franchisee may use with its employees or contractors specifies that it is not an employment agreement. The sample agreement states that it "is only a confidentiality agreement in connection with information, materials and access that may be provided to you in connection with the Bang Cookies Business."

This means that the agreement focuses solely on protecting Bang Cookies' confidential information rather than establishing an employer-employee relationship. The agreement is between the franchisee and their employee or contractor, not between Bang Cookies and the franchisee's personnel. Bang Cookies Franchise LLC is identified as a third-party beneficiary, highlighting their interest in protecting confidential information but not creating an employment relationship.

It is important to note that Bang Cookies recommends franchisees have this agreement reviewed and approved by an independent local attorney before using it with an employee or contractor. This is to ensure compliance with local laws and to tailor the agreement to the specific circumstances of the franchisee's business. The FDD emphasizes that the provided agreement is a sample and for reference only.