Are Casiola franchise managers required to sign a confidentiality agreement?
Casiola Franchise · 2024 FDDAnswer from 2024 FDD Document
You may hire a manager to assume responsibility for the daily management and supervision of the Franchised Business, only if: (a) the manager meets all of our minimum standards and criteria for managers; (b) the manager completes our initial training program; (c) the manager signs our confidentiality and non-competition agreements; and (d) the manager agrees, in writing, to assume responsibility for the on-site management and supervision of the Franchised Business (an "Operating Manager"). All of your employees and other agents and representatives who may have access to our confidential information must sign a confidentiality agreement.
Source: Item 15 — OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS (FDD pages 34–35)
What This Means (2024 FDD)
According to Casiola's 2024 Franchise Disclosure Document, if a franchisee hires a manager to oversee the daily operations of the Casiola franchise, that manager must sign confidentiality and non-competition agreements. This requirement is part of the conditions that Casiola sets for allowing a manager to assume responsibility for the business's daily management. Additionally, all employees and other agents who have access to confidential information must sign a confidentiality agreement.
The FDD also includes a sample confidentiality agreement as Exhibit 2. This agreement is intended for use by the franchisee with their employees or contractors, but Casiola advises that the franchisee have the agreement reviewed and approved by an independent local attorney before using it. The sample agreement specifies that Casiola Franchise LLC is a third-party beneficiary, even though it is not a party to the agreement itself.
This agreement defines "Confidential Information" as non-public methods, specifications, standards, policies, procedures, information, concepts, programs, and systems relating to the Casiola Business. It also includes customer information, customer lists, email lists, database lists, product sales, operating results, financial performance, financial data, Bookings and Management System Data, information in the Casiola Operations Manual, and production, supply, and service procedures not disclosed to the public.