If Brueggers Bagels requests it, what specific actions must a franchisee take regarding confidentiality agreements with their general manager and assistant managers?
Brueggers_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
Each person who is or becomes an owner, director or officer of Franchisee must execute a Guaranty in the form we prescribe, undertaking to be bound jointly and severally by the terms of this Agreement including but not limited to those provisions in Section 19 above. The current form of Guaranty is attached to this Agreement as Exhibit B. Each person who is, or
becomes, an owner or executive officer of Franchisee must also execute a Confidentiality and Non-competition Agreement in a form we prescribe, the current form of which is attached to this Agreement as Exhibit C. If you are a publicly-held entity, the requirements in this Section will not apply to ownership by you of less than five percent (5%) beneficial interest. In addition, at our request, if the Guarantor resides in a community property state, the Guarantor will cause his or her spouse, if any, to execute a Guaranty and you must also obtain signed Confidentiality and Non-competition Agreements referred to above. Confidentiality and Non-competition Agreements must also be obtained from any manager who has received or will receive training from us.
Source: Item 22 — CONTRACTS (FDD page 61)
What This Means (2025 FDD)
According to Brueggers Bagels's 2025 Franchise Disclosure Document, each person who is or becomes an owner or executive officer of the franchisee must execute a Confidentiality and Non-competition Agreement in a form prescribed by Brueggers Bagels. The current form is attached to the Franchise Agreement as Exhibit C.
In addition, at Brueggers Bagels's request, the franchisee must also obtain signed Confidentiality and Non-competition Agreements from any manager who has received or will receive training from them. This indicates that if a general manager or assistant manager receives training from Brueggers Bagels, the franchisee is obligated to ensure these individuals sign the required agreements.
This requirement ensures that individuals with access to Brueggers Bagels's confidential information, such as operational methods and trade secrets, are legally bound to protect that information. This is a standard practice in franchising to maintain brand consistency and protect proprietary knowledge.