Does Carbones Pizzeria have an obligation to protect its recipes?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
We do not know of any patent or copyright infringement that could materially affect your use of any items in which we claim copyright protection. We have no obligation to protect our recipes or proprietary information or to defend your right to use these materials nor do we have any obligation to defend or indemnify you for your use of these items. However, as a condition to considering what action, if any, to take, you must notify us immediately of an infringement claim. If there is litigation we will have the right to control it. We can also require you to modify or discontinue your use of any recipes or other items in which we claim copyright protection. You will be responsible for all costs you incur based on any modifications, substitutions or discontinuations.
Source: Item 14 — PATENTS, COPYRIGHTS AND PROPRIETARY INFORMATION (FDD pages 22–23)
What This Means (2025 FDD)
According to the 2025 FDD, Carbones Pizzeria does not have an obligation to protect its recipes or proprietary information, nor do they have any obligation to defend a franchisee's right to use these materials. Additionally, Carbones Pizzeria is not obligated to defend or indemnify a franchisee for their use of these items. However, if there is an infringement claim, the franchisee must notify Carbones Pizzeria immediately as a condition for them to consider taking any action. If litigation occurs, Carbones Pizzeria retains the right to control it.
Carbones Pizzeria can also require a franchisee to modify or discontinue the use of any recipes or other items in which they claim copyright protection. The franchisee will be responsible for all costs incurred based on any modifications, substitutions, or discontinuations. While Carbones Pizzeria claims common law copyright protection in its proprietary information, including recipes and manuals, they have not sought copyright protection at the United States Patent and Trademark Office or the United States Copyright Office for any of these items. They consider these recipes to be "Trade Secrets" under the Uniform Trade Secrets Act and applicable state trade secret law.
This means that while Carbones Pizzeria considers its recipes and other information proprietary, the franchisee bears the risk of any required changes or discontinuations and the costs associated with them. It is important for a prospective franchisee to understand that Carbones Pizzeria will not take responsibility for defending the franchisee's right to use the recipes or provide indemnity in case of infringement claims. The franchisee should seek legal counsel to fully understand the implications of this provision.