What are the requirements for C3 Wellness Spa managers and other employees with access to confidential information?
C3_Wellness_Spa Franchise · 2024 FDDAnswer from 2024 FDD Document
FOR REFERENCE PURPOSES ONLY AS A SAMPLE FORM CONFIDENTIALITY AGREEMENT THAT FRANCHISOR MAY APPROVE FOR USE BY FRANCHISEE – BEFORE USING WITH AN EMPLOYEE OR CONTRACTOR FRANCHISEE SHOULD HAVE THIS AGREEMENT REVIEWED AND APPROVED BY AN INDEPENDENT LOCAL ATTORNEY HIRED BY FRANCHISEE]
Confidentiality Agreement (Sample Only)
This Agreement (the "Agreement") is entered into by the undersigned ("you") in favor of:
WHEREAS, we are the owners of a licensed C3 Wellness Business (hereinafter referred to as the "C3 Wellness Business") that we independently own and operate as a Franchisee;
WHEREAS, you are or are about to be an employee, independent contractor, officer and/or director of an C3 Wellness Business that is independently owned and operated by us;
WHEREAS, in the course of your employment, independent contractor relationship and/or association with us, you may gain access to Confidential Information (defined below in this Agreement) and you understand that it is necessary to protect the Confidential Information and for the Confidential Information to remain confidential;
WHEREAS, our franchisor, Aryes Franchising LLC is not a party to this agreement and does not own or manage the C3 Wellness Business but is an intended third party beneficiary of this Agreement; and
WHEREAS, this Agreement is not an employment agreement and is only a confidentiality agreement in connection with information, materials and access that may be provided to you in connection with the C3 Wellness Business.
NOW THEREFORE, you acknowledge and agree as follows:
- 1. Recitals and Representations. You agree that the foregoing Recitals and Representations are true and accurate and shall constitute a part of this Agreement and are hereby incorporated into the main body of this Agreement.
- 2. Definitions. For purposes of this Agreement, the following terms have the meanings given to them below:
- "Business Management System" refers to and means the software and/or internet or cloud based system and/or systems, point of sale system or systems and customer relationship management system or systems as used in connection with the operations of the C3 Wellness Business.
- "Business Management System Data" refers to and means the forms, data, tools, customer information, inventory and sales information, and other information that is entered into and/or maintained on the Business Management System of the C3 Wellness Business.
"Confidential Information" refers to and means: (a) non-public methods, specifications, standards, policies, procedures, information, concepts, programs and systems relating to the development, establishment, marketing, promotion and operation of the C3 Wellness Business; (b) information concerning customers, customer lists, email lists, database lists, product sales, operating results, financial performance and other financial data of the C3 Wellness Business; (c) customer lists and information related to the C3 Wellness Business; (d) Business Management System Data; (e) current and future information contained in the C3 Wellness Operations Manual made available to the C3 Wellness Business by Aryes Franchising LLC; and (f) production and service procedures that are not disclosed to the public but used by the C3 Wellness Business.
"Digital Media" refers to and means any interactive or static electronic document, application or media including, but not limited to, www.C3WellnessFranchise.com, social media platforms and applications such as Facebook, LinkedIn, Twitter, Pinterest, Instagram, SnapChat, YouTube, and world wide web and internet based directories and local directories that refers, references, identifies, reviews, promotes and/or relates, in any way, to the C3 Wellness Business or other C3 Wellness Business.
"Licensed Marks" refers to and means the word marks, trademarks, service marks, and logos now or hereafter utilized in the operation of an C3 Wellness Business, including, but not limited to, the "C3 Wellness" word mark, associated logos, and any other trademarks, service marks or trade names that we designate for use in an C3 Wellness Business.
"Operations Manual" refers to and means the confidential Operations Manual made available to the C3 Wellness Business by our franchisor or as otherwise designated by us. The Operations Manual may consist of one or more volumes, handbooks, manuals, written materials, video, electronic media files, cloud/internet based list-service, intra-net, internet based and accessed databases, computer media, webinars and other materials as may be modified, added to, replaced or supplemented.
"Trade Dress" refers to and means the C3 Wellness designs, images, marketing materials, packaging, branding and/or branding images used in connection with the operation of the C3 Wellness Business.
- 3.
Source: Item 15 — OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS (FDD page 42)
What This Means (2024 FDD)
According to C3 Wellness Spa's 2024 Franchise Disclosure Document, managers and employees who have access to confidential information are required to adhere to a Confidentiality Agreement. This agreement, while presented as a sample, outlines the obligations of individuals associated with a C3 Wellness Business, ensuring the protection of sensitive information. The franchisor, Aryes Franchising LLC, is identified as a third-party beneficiary of this agreement, although they do not own or manage the C3 Wellness Business directly. Franchisees are advised to have the agreement reviewed and approved by an independent local attorney before using it with their employees or contractors.
The Confidentiality Agreement specifies that employees, independent contractors, officers, and/or directors may gain access to Confidential Information, which includes non-public methods, specifications, standards, policies, procedures, and systems related to the development, marketing, and operation of the C3 Wellness Business. It also encompasses customer information, customer lists, email lists, database lists, product sales, operating results, financial performance, and other financial data. Business Management System Data, current and future information contained in the C3 Wellness Operations Manual, and production and service procedures not disclosed to the public are also considered Confidential Information.
The agreement mandates that individuals will not use the Confidential Information in any business or capacity other than the C3 Wellness Business. They must maintain the confidentiality of the information at all times, avoid making unauthorized copies of documents containing Confidential Information, and take reasonable steps to prevent unauthorized use or disclosure. Upon request or demand, they must immediately stop using the Confidential Information and only use it for performing their duties on behalf of the C3 Wellness Business and within the scope of their work. Employees also waive their rights to challenge the agreement.
For a prospective C3 Wellness Spa franchisee, this means they are responsible for ensuring that all personnel with access to sensitive business information sign and adhere to a confidentiality agreement. This protects the C3 Wellness Spa system and the franchisee's business operations. The franchisee should consult with their own legal counsel to ensure the agreement complies with local laws and adequately protects their interests. The franchisee is also responsible for the $800 per day supplemental training fee for replacement Operating Manager or employee managers.