Are the remedies available to Bhc for unauthorized disclosure of Proprietary Information in addition to other rights or remedies?

According to Bhc's 2025 Franchise Disclosure Document, Bhc has multiple avenues of recourse if a franchisee or their agents disclose proprietary information without authorization. Bhc can seek specific enforcement of the franchise agreement, including injunctive or other equitable relief to prevent unauthorized disclosures or use. This means Bhc can ask a court to order the franchisee to stop the unauthorized activity immediately. Bhc does not need to prove actual damages to obtain this type of relief, and the franchisee consents to the issuance of an injunction and specific performance.

In addition to seeking injunctive or equitable relief, Bhc is entitled to other rights and remedies available at law or in equity, including monetary damages. This means Bhc can also sue the franchisee for financial compensation to cover any losses resulting from the unauthorized disclosure. The FDD specifies that these remedies are cumulative, providing Bhc with a range of options to address unauthorized disclosures and protect its proprietary information and marks.

This comprehensive approach to remedies underscores the importance Bhc places on protecting its proprietary information. For a prospective franchisee, this means understanding the strict confidentiality obligations and the potential legal and financial consequences of unauthorized disclosure. Franchisees should ensure their employees and agents are also aware of these obligations and the potential ramifications of breaching them.