Under the Carbones Pizzeria franchise agreement, can I disclose recipes to individuals other than my employees?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
You may not disclose any of our recipes or other confidential and proprietary information to other than your employees and then only as is necessary for the proper operation of your Restaurant. You may not make any copies of such recipes except as necessary to operate your Restaurant and you must maintain the recipes locked in a secure container that only you and your restaurant manager have excess.
You may not change any of our recipes without our consent and you may not divulge, discuss or reveal them to anyone except as permitted by the Franchise Agreement. If you divulge, discuss or reveal any of the recipes to an individual that we have not authorized we can seek an injunction against you and all your affiliates and can ask the court to award actual damages sustained.
Source: Item 14 — PATENTS, COPYRIGHTS AND PROPRIETARY INFORMATION (FDD pages 22–23)
What This Means (2025 FDD)
According to the 2025 Carbones Pizzeria Franchise Disclosure Document, franchisees are restricted in their ability to disclose the franchisor's recipes. The FDD states that franchisees may not disclose any of the recipes or other confidential and proprietary information to anyone other than their employees, and even then, only when it is necessary for the proper operation of the restaurant.
Carbones Pizzeria considers its recipes to be trade secrets, so franchisees must take precautions to protect them. Franchisees may only make copies of the recipes as needed to operate the restaurant, and they must keep the recipes locked in a secure container that only the franchisee and the restaurant manager can access. Before revealing any part of the secret recipes to any employee or owner, the franchisee must obtain a signed agreement from that employee or owner to maintain the secrecy of the recipes.
The franchise agreement also states that franchisees may not change any of the recipes without the franchisor's consent. Franchisees acknowledge that any breach of this section of the agreement will damage the franchisor in a manner that will not be readily susceptible to calculation. Therefore, the unauthorized disclosure of the secret recipes will cause the franchisee to be liable to the franchisor.
These restrictions are typical in the franchise industry, as franchisors need to protect their intellectual property. Prospective Carbones Pizzeria franchisees should carefully review the franchise agreement to understand the full scope of these restrictions.