What action will the Brain Balance franchisee take to protect trade secrets?
Brain_Balance Franchise · 2025 FDDAnswer from 2025 FDD Document
- 10.17. (a) All permanent staff of the Franchised Business shall execute Exhibit 3, the Confidentiality, Non-Solicitation, and Non-Compete Agreement as provided in the Operations Manual.
FRANCHISEE will take such action in connection therewith as may be required by COMPANY both during and upon termination of this Agreement in order to protect any trade secrets that are proprietary to COMPANY or any information, knowledge, or know-how deemed confidential under this Agreement.
Source: Item 22 — CONTRACTS (FDD pages 70–72)
What This Means (2025 FDD)
According to Brain Balance's 2025 Franchise Disclosure Document, franchisees must take specific actions to protect the company's trade secrets. All permanent staff of the franchised business are required to execute a Confidentiality, Non-Solicitation, and Non-Compete Agreement, as detailed in the Operations Manual. This agreement is crucial for maintaining the confidentiality of Brain Balance's proprietary information.
Furthermore, the franchisee is obligated to take any additional actions deemed necessary by Brain Balance, both during the term of the Franchise Agreement and upon its termination, to safeguard trade secrets, proprietary information, knowledge, and know-how considered confidential under the agreement. This ensures ongoing protection of Brain Balance's valuable assets.
These measures are typical in franchising, as franchisors need to protect their intellectual property and operational methods. The franchisee's compliance with these requirements is essential for maintaining the integrity of the Brain Balance system and preventing unauthorized use or disclosure of confidential information.