What actions are specifically prohibited regarding Bft's Confidential Information, both during and after the franchise term?
Bft Franchise · 2025 FDDAnswer from 2025 FDD Document
Confidential Information does not include information, knowledge, or know-how, which is lawfully known to the public without violation of applicable law or an obligation to Franchisor or its affiliates, or any Restricted Data.
Franchisee (and its Owners, if Franchisee is a legal entity) agrees that, during and after the Term, Franchisee will, and cause its spouses, immediate family members, affiliates, and assigns to: (i) process, retain, use, collect, and disclose Confidential Information strictly to the limited extent, and in such a manner, as necessary for the development and operation of the Studio in accordance with this Agreement, and not for any other purposes of any kind; (ii) process, retain, use, collect, and disclose Confidential Information strictly in accordance with the privacy policies and System Standards and Franchisee's and its representative's instructions; (iii) keep confidential and not disclose, sell, distribute, or trade Confidential Information to any person other than those of Franchisee's employees, independent contractors, and representatives who need to know such Confidential Information for the purpose of assisting Fran
Source: Item 14 — PATENTS, COPYRIGHTS AND PROPRIETARY INFORMATION (FDD pages 55–56)
What This Means (2025 FDD)
According to Bft's 2025 Franchise Disclosure Document, during and after the franchise term, franchisees and their related parties are restricted in how they handle Bft's Confidential Information. Franchisees must process, retain, use, collect, and disclose Confidential Information strictly to the limited extent necessary for operating the Bft studio according to the Franchise Agreement. Any other use is prohibited. Franchisees must also adhere to privacy policies, system standards, and instructions regarding the handling of confidential data.
Specifically, franchisees are prohibited from disclosing, selling, distributing, or trading Confidential Information to anyone except employees, independent contractors, and representatives who need the information to assist the franchisee. This ensures that sensitive business information remains protected and is not disseminated to unauthorized parties. The Learning Management System, which contains electronic manuals and procedures, is also considered Confidential Information and must be protected accordingly.
If a franchisee compromises the secure access to the Learning Management System through gross negligence or intentional actions, such as allowing unauthorized access or posting confidential information online, they will be required to compensate Bft for the breach and related damage to the Marks and System. This highlights the importance of maintaining the confidentiality and security of Bft's proprietary information to protect the brand and system standards. These restrictions apply to the franchisee, their owners (if the franchisee is a legal entity), and their spouses, immediate family members, affiliates, and assigns.