Under what circumstances is a Beggars Pizza franchisee permitted to disclose confidential information according to the franchise agreement?

According to Beggars Pizza's 2025 Franchise Disclosure Document, there are specific instances where a franchisee is permitted to disclose confidential information. The franchise agreement outlines that franchisees are obligated to keep confidential all confidential information disclosed to them. However, this obligation does not apply to information that is already publicly known, generally known in the industry, becomes publicly known without the franchisee's fault, is received from a third party with the lawful right to disclose it, or was independently developed by the franchisee.

Specifically, the Beggars Pizza franchise agreement states that the confidentiality restrictions do not prohibit disclosure of confidential information if such disclosure is permitted or required by law, regulation, court order, governmental authority, or securities exchange requirement. Additionally, disclosure is allowed in connection with a claim between the parties under the franchise agreement. This means a franchisee may disclose confidential information if legally compelled to do so or when pursuing a legal claim against Beggars Pizza itself.

For a prospective Beggars Pizza franchisee, this is an important consideration. While maintaining confidentiality is crucial, the agreement acknowledges scenarios where disclosure is necessary and permissible. Understanding these exceptions can help a franchisee navigate legal or dispute-related situations without violating the franchise agreement. It is advisable for potential franchisees to consult with legal counsel to fully understand the scope and implications of these confidentiality clauses and their exceptions.