What are the permitted uses of Confidential Information related to the Bonchon franchise?
Bonchon Franchise · 2025 FDDAnswer from 2025 FDD Document
You agree to use and permit the use of our Confidential Information (as defined below) solely in connection with the operation of your franchised Bonchon Business. You further agree that you will never – during the Initial Term or any Successor Term of this Agreement, or any time after this or any Successor Agreement expires or terminates, or your rights under this Agreement or any Successor Agreement are assigned or terminated – divulge or use any of our Confidential Information for the benefit of yourself, your owners (if you are a business entity) any third party (including any person, business entity or enterprise of any type or nature), nor will you directly or indirectly aid any such third party to imitate, duplicate or "reverse engineer" any of our Confidential Information.
"Confidential Information" includes (without limitation) all information, knowledge, trade secrets or know-how utilized or embraced by the Bonchon System or which otherwise concerns your or our systems of operation, programs, services, products, customers, practices, materials, books, records, manuals, computer files, databases or software. Confidential Information includes (without limitation): all elements of the Bonchon System and all products, services, equipment, technologies, recipes, food and beverage preparation techniques, policies, standards, requirements, criteria and procedures that now or in the future are a part of the Bonchon System; our Manuals (including Supplements to the Manuals); all specifications, sources of supply, all procedures, systems, techniques and activities employed by us or by you in the offer and sale of products and/or services at or from your franchised Bonchon Business; all pricing paradigms established by us or by you; all of our and/or your sources (or prospective sources) of supply and all information pertaining to same (including wholesale pricing structures, the contents of sourcing agreements and the identity of
suppliers); our specifications, and your final plans, for the construction, buildout, design, renovation, décor, equipment, signage, furniture, fixtures and trade dress elements of your Bonchon Restaurant; the identity of, and all information relating to, the computer and POS hardware and software utilized by us and you; all information pertaining to our and/your advertising, marketing, promotion and merchandising campaigns, activities, materials, specifications and procedures; all customer lists and records generated and/or otherwise maintained by your franchised Business; our (and, if in the future we permit, your) internet/web protocols, procedures and content including electronic data, data files, user names and passwords); our training and other instructional programs and materials; all elements of our recommended staffing, staff training and staff certification policies and procedures; all communications between us (including the financial and other reports you are required to submit to us under this Agreement); additions or improvements to, deletions from and modifications and variations of the components of the Bonchon System and the other systems and methods of operations which we employ now or in the future; research, development and test programs for products, services and operations; and, all other information, knowledge and know-how which either we or our affiliates, now or in the future, designate as confidential.
Confidential Information will not, however, include information which you can demonstrate came to your attention before we disclosed it to you (unless illegally or improperly procured by you before our disclosure) or which, at or after the time of disclosure, has become a part of the public domain through publication or communication by others, but not through any act of yours.
Source: Item 23 — RECEIPTS (FDD pages 92–536)
What This Means (2025 FDD)
According to Bonchon's 2025 Franchise Disclosure Document, a franchisee is permitted to use Bonchon's Confidential Information solely in connection with the operation of their franchised Bonchon Business. This means the franchisee can utilize the information, knowledge, trade secrets, and know-how provided by Bonchon to run their restaurant effectively.
The Confidential Information includes, but is not limited to, elements of the Bonchon System, products, services, equipment, technologies, recipes, food and beverage preparation techniques, policies, standards, manuals, specifications, sources of supply, pricing paradigms, and computer and POS hardware and software. It also covers information pertaining to advertising, marketing, promotion, merchandising, customer lists, internet protocols, training programs, staffing policies, communications, and improvements to the Bonchon System.
The franchisee agrees not to divulge or use any of Bonchon's Confidential Information for their own benefit, the benefit of their owners (if a business entity), or any third party. This restriction applies during the Initial Term, any Successor Term, and even after the agreement expires or terminates. The franchisee is also prohibited from aiding any third party to imitate, duplicate, or reverse engineer any of Bonchon's Confidential Information. However, information that the franchisee can demonstrate came to their attention before Bonchon disclosed it, or that has become public knowledge through no fault of the franchisee, is not considered Confidential Information.