What exhibit in the Beggars Pizza franchise agreement contains the Confidentiality and Non-Competition Agreement?
Beggars_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
- 10.2 Confidentiality Agreements. At Franchisee's request, Franchisee must require Franchisee's managers and other such personnel having access to any Confidential Information as Franchisor requires to execute non-competition covenants and covenants that they will maintain the confidentiality of information they receive in connection with their employment by Franchisee at the Restaurant. Such covenants must be in the form attached hereto as Exhibit C.
Source: Item 22 — CONTRACTS (FDD page 39)
What This Means (2025 FDD)
According to the 2025 Beggars Pizza Franchise Disclosure Document, the confidentiality agreements that Beggars Pizza franchisees must have their managers and other personnel with access to confidential information execute are found in the form attached as Exhibit C. Section 10.2 of the franchise agreement discusses these agreements, stating that franchisees must require their personnel to sign non-competition covenants and confidentiality agreements. These agreements ensure that employees maintain the confidentiality of information they receive during their employment with the Beggars Pizza franchise.
This requirement is in place to protect Beggars Pizza's confidential information and trade secrets. The franchise agreement emphasizes the importance of maintaining the confidentiality of information such as the manual, recipes, ingredients, cooking procedures, customer lists, drawings, materials, and equipment. By having employees sign these agreements, Beggars Pizza aims to prevent the unauthorized disclosure or use of this information, which could harm the franchise system.
It is important for prospective franchisees to carefully review Exhibit C to understand the specific terms and conditions of the confidentiality and non-competition agreements. Franchisees should also ensure that they have a system in place to track and enforce these agreements with their employees. Failure to comply with these requirements could result in legal action and financial penalties, as outlined in Section 10.3, which states that any failure to comply with the requirements of Section 10 will cause Beggars Pizza irreparable injury, and the franchisee must pay all court costs and reasonable attorneys' fees incurred by Beggars Pizza in obtaining specific performance or an injunction against violation of the requirements of Section 10 or such other relief sought by Beggars Pizza.