Under what circumstances is information NOT considered 'Proprietary Information' for a Body20 franchisee?
Body20 Franchise · 2025 FDDAnswer from 2025 FDD Document
"Proprietary Information" does not include (a) information that is part of the public domain or becomes part of the public domain through no fault of you, (b) information disclosed to you by a third party having legitimate and unrestricted possession of such information, or (c) information that you can demonstrate by clear and convincing evidence was within your legitimate and unrestricted possession when the parties began discussing the sale of the franchise.
Source: Item 23 — RECEIPT (FDD pages 74–251)
What This Means (2025 FDD)
According to Body20's 2025 Franchise Disclosure Document, certain information is excluded from the definition of 'Proprietary Information.' This is important for a prospective franchisee to understand, as it defines the boundaries of what they must keep confidential and what they are free to use.
Specifically, information is not considered Proprietary Information if it (a) is already part of the public domain or becomes part of the public domain without any fault on the franchisee's part, (b) is disclosed to the franchisee by a third party who has the legal right to possess and share that information without restrictions, or (c) if the franchisee can clearly prove they already had legitimate and unrestricted possession of the information before discussions about the franchise sale even began.
This means a Body20 franchisee is not obligated to keep information confidential if it's publicly available, if they receive it from a third party with the right to disclose it, or if they already possessed it independently. This protects the franchisee from being unduly restricted regarding information they already rightfully possess or that is generally known.