Does the Bonchon confidentiality agreement extend beyond the term of employment, ownership participation, association, or service?
Bonchon Franchise · 2025 FDDAnswer from 2025 FDD Document
You agree that you will not, during the Term of this Agreement or thereafter, divulge to or use for the benefit of any other person(s), partnership, proprietorship, association, corporation or entity, any confidential information, knowledge or know-how concerning your or our systems of operation, programs, services, products, customers or practices and/or pertaining to the Bonchon System which may be communicated to you. Any and all information, knowledge, know-how, techniques and information which we, our affiliates, or their respective officers, designate as confidential will be deemed confidential for the purposes of this Agreement, except information which you can demonstrate came to your attention before our disclosure or which, at or after the time of our disclosure to you, has become a part of the public domain through publication or communication by others.
Source: Item 23 — RECEIPTS (FDD pages 92–536)
What This Means (2025 FDD)
According to Bonchon's 2025 Franchise Disclosure Document, the confidentiality agreement extends beyond the term of the franchise agreement. Specifically, franchisees must not divulge or use confidential information for the benefit of themselves or any third party at any time after the franchise agreement expires or terminates. This restriction ensures the protection of Bonchon's proprietary information and systems.
Bonchon defines "Confidential Information" broadly, including all aspects of the Bonchon System, such as operational methods, programs, services, products, customer data, manuals, recipes, and techniques. This broad definition means franchisees must be careful not to disclose or use any information related to the Bonchon business, even after their franchise agreement ends.
Furthermore, Bonchon requires franchisees to obtain confidentiality agreements from various individuals, including operating principals, owners, equity holders, officers, directors, managers, and other managerial staff. These agreements must be secured before employment or promotion, ensuring that all key personnel are bound by confidentiality obligations. Bonchon also retains the right to enforce these agreements, adding another layer of protection for its confidential information. This is a common practice in franchising to protect the brand's trade secrets and operational methods.