Under the Boulder Designs Guaranty, what article of the Franchise Agreement addresses the use of Confidential Information?

According to Boulder Designs' 2025 Franchise Disclosure Document, the Guaranty and Assumption of Obligations document states that the guarantor must comply with all provisions in Article 7 of the Franchise Agreement concerning the use of Confidential Information. This means that anyone signing the Guaranty, typically an owner with a beneficial interest in the franchisee, is personally bound to protect Boulder Designs' confidential information as outlined in Article 7.

This obligation includes maintaining the confidentiality of all Confidential Information disclosed to them and using it only for authorized purposes under the Franchise Agreement. The guarantor is also prohibited from disclosing any Confidential Information, except to the franchisee's employees on a need-to-know basis, to legal and tax professionals to meet legal obligations, or as required by law.

This clause is significant because it extends the responsibility for protecting Boulder Designs' sensitive business information beyond the franchisee entity to the individual owners. This provides an additional layer of security for the franchisor, as individual owners can be held personally liable for breaches of confidentiality. Prospective franchisees should carefully review Article 7 of the Franchise Agreement to fully understand the scope of Confidential Information and the obligations it imposes on both the franchisee and any guarantors.