What specific information is considered confidential by C12 Group and must be protected by the franchisee?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
ral turpitude, legal or illegal, are material grounds for immediate termination of thisagreement.
- c. Confidentiality and Conduct Upon Termination. Franchisee shall hold all materials, practices, customer lists, contact lists, and any other proprietary information concerning Franchisor, the C12 brand, and C12 members confidential, and to return to Franchisor or destroy all such materials if this Agreement is terminated for any reason. Upon the termination of this Agreement, the following shall apply: (a) all members in Franchisee's Territory must be notified of Franchisee's decision to leave C12 and they must be informed of their option to continue participating in CEO Forums and Key Player Forums led by a subsequent Area Chair to be appointed by Franchisor (Franchisor will formally present this option to the members, either collectively or individually);
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to C12 Group's 2025 Franchise Disclosure Document, franchisees must maintain the confidentiality of several types of information. This includes all materials, practices, customer lists, contact lists, and any other proprietary information concerning C12 Group, the C12 brand, and C12 members. This obligation extends through the term of the franchise agreement and continues even after termination.
Upon termination of the franchise agreement, the franchisee is required to return to C12 Group or destroy all such confidential materials. Additionally, the franchisee must cease using all programs, process formats, materials, forms, manuals, systems, slogans, signs, marks, symbols, websites, or designs used with the C12 Group franchised business and return all manuals and member information to C12 Group.
This confidentiality requirement is a standard practice in franchising to protect the franchisor's proprietary information and maintain a competitive advantage. Failure to comply with these confidentiality obligations can result in legal action and financial penalties for the franchisee. Prospective franchisees should carefully review the confidentiality provisions in the franchise agreement and understand the scope of their obligations.