To what extent am I allowed to disclose confidential Beehive Homes information to my employees?
Beehive_Homes Franchise · 2025 FDDAnswer from 2025 FDD Document
The Franchise Agreement also provides that YOU will: (a) fully and strictly adhere to all security procedures prescribed by US in OUR sole discretion for maintaining the secrecy of the information; (b) disclose the information to YOUR employees only to the extent necessary to provide the services and for the operation of the Home in accordance with the Franchise Agreement; (c) not use any of the information in any other business or in any manner not specifically authorized or approved in writing by US; and (d) exercise the highest degree of diligence and make every effort to maintain the absolute confidentiality of all the information during and after the term of the Franchise Agreement.
YOU are also obligated to require each employee of the Home to execute OUR standard Non-Competition and Non-Disclosure Agreement before participating in any training or performing any work at or otherwise having access to the Home. A copy of the agreement shall be delivered to US within one week of its execution or on the first day of employment, whichever is sooner.
Source: Item 14 — PATENTS, COPYRIGHTS AND PROPRIETARY INFORMATION (FDD pages 23–24)
What This Means (2025 FDD)
According to Beehive Homes' 2025 Franchise Disclosure Document, franchisees have specific obligations regarding the disclosure of confidential information to their employees. Beehive Homes considers all knowledge of its system, services, proprietary formulations, technology, know-how, and the operation of a Home to be derived from information disclosed to the franchisee, and this information is deemed proprietary, confidential, and a trade secret.
The Franchise Agreement stipulates that franchisees must adhere to security procedures for maintaining the secrecy of this information. Disclosure to employees is permitted only to the extent necessary for providing services and operating the Home in accordance with the Franchise Agreement. Franchisees are prohibited from using any of this information in other businesses or in any manner not explicitly authorized or approved in writing by Beehive Homes. Franchisees must also exercise diligence and make every effort to maintain the absolute confidentiality of all information both during and after the term of the Franchise Agreement.
Furthermore, Beehive Homes requires franchisees to have each employee sign a standard Non-Competition and Non-Disclosure Agreement before they participate in any training, perform any work, or otherwise have access to the Home. A copy of this agreement must be provided to Beehive Homes within one week of its execution or on the employee's first day of employment, whichever comes first. This ensures that employees are legally bound to protect the confidential information of Beehive Homes, and that Beehive Homes is aware of these agreements.