Who is required to sign a separate Confidentiality and Non-Compete Agreement for a Benjamin Franklin Plumbing franchise at the franchisor's request?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
At our request, the Owners, Key Person, officers, directors, limited liability company managers and/or members, and executives that we designate are required to sign a separate Confidentiality and Non-Compete Agreement (the form of which is attached to the Franchise Agreement). In addition, you and the Owners authorize us to run credit and background checks and to make inquiries of your bank, suppliers, and trade creditors concerning the Franchised Business.
Source: Item 15 — OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS (FDD page 66)
What This Means (2025 FDD)
According to Benjamin Franklin Plumbing's 2025 Franchise Disclosure Document, the Owners, Key Person, officers, directors, limited liability company managers and/or members, and executives that Benjamin Franklin Plumbing designates are required to sign a separate Confidentiality and Non-Compete Agreement at the franchisor's request. The specific form of this agreement is attached to the Franchise Agreement as Appendix C.
This requirement ensures that individuals in key positions within the Benjamin Franklin Plumbing franchise are legally bound to protect the company's confidential information and refrain from engaging in competitive activities. This is a common practice in franchising to safeguard the franchisor's business model, trade secrets, and market position.
As a prospective franchisee, it is important to understand who specifically Benjamin Franklin Plumbing will require to sign this agreement, as it could impact your choice of business partners or key employees. You should also review the terms of the Confidentiality and Non-Compete Agreement (Appendix C) carefully to understand the scope of the restrictions and obligations it imposes on those who sign it.