factual

For Brightstar Care, which individuals are required to execute a confidentiality, nonsolicitation, and non-compete agreement?

Brightstar_Care Franchise · 2025 FDD

Answer from 2025 FDD Document

Unless otherwise specified, the term "you" as used in this Article 11 will include, collectively and individually, all owners, guarantors, officers, directors, members, managers, partners, as the case may be, and holders of any ownership interest in you.

Source: Item 22 — CONTRACTS (FDD pages 117–118)

What This Means (2025 FDD)

According to Brightstar Care's 2025 Franchise Disclosure Document, the term "you" regarding covenants to compete and maintain confidentiality includes all owners, guarantors, officers, directors, members, managers, partners, and holders of any ownership interest in the franchisee. This means these individuals are subject to the confidentiality, non-solicitation, and non-compete agreements outlined in the franchise agreement.

Brightstar Care requires these agreements to protect its valuable training, goodwill, and confidential information. This information includes know-how, knowledge, methods, specifications, processes, procedures, improvements relating to the BrightStar Care Agency Program, the Operations Manual, methods of site selection, marketing methods, recruiting, service analysis and selection, service methods and skills, prospective and current client lists and client information (including National Accounts clients), employee information, and any other business information that is not generally known to its competitors, as well as the content of the Franchise Agreement and any other document executed in connection with the Franchise Agreement.

The non-compete covenants prevent franchisees and related parties from engaging in activities that could harm Brightstar Care's business. Specifically, during the initial term of the agreement, franchisees cannot divert business to competitors, perform actions detrimental to the goodwill of the Brightstar Care brand, or disparage the company. They are also restricted from owning, managing, or having an interest in any competing business, which includes providing supplemental healthcare staff, homecare services, or case management services.

These restrictions are typical in franchising to protect the brand and prevent franchisees from using the franchisor's proprietary information and systems to compete against them, either during the franchise term or after its termination. Prospective Brightstar Care franchisees should carefully review these covenants to understand the full scope of their obligations and restrictions.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.