What are the exceptions to the confidentiality obligations outlined in the Boulder Designs Guaranty?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
I further agree not to disclose any of the Confidential Information, except (a) to the Franchisee's employees on a need to know basis, (b) to the Franchisee's and my legal and tax professionals to the extent necessary for me to meet my legal obligations, and (c) as otherwise may be required by law.
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to Boulder Designs' 2025 Franchise Disclosure Document, the Guaranty and Assumption of Obligations outlines specific exceptions to maintaining the confidentiality of information. The guarantor is permitted to disclose confidential information to certain parties under specific circumstances without breaching their obligations.
Specifically, the guarantor may disclose confidential information to the Franchisee's employees if those employees have a need to know the information. Additionally, disclosure is permitted to the Franchisee's and the guarantor's legal and tax professionals, but only to the extent necessary to fulfill legal obligations. Finally, the guarantor is allowed to disclose confidential information if such disclosure is required by law.
These exceptions are designed to allow for the practical operation of the Boulder Designs franchise while still protecting the franchisor's confidential information. It is important for potential franchisees and guarantors to understand these exceptions and ensure that any disclosures of confidential information fall within these defined boundaries to avoid violating the terms of the Guaranty.