What is the scope of the prohibition on using the Casiola System after termination?
Casiola Franchise · 2024 FDDAnswer from 2024 FDD Document
(3) Permanently cease to use, except as directed by Franchisor in writing and related to Franchisee's performance and completion of Wind-Down Activities as designated and determined by Franchisor in Franchisor's Reasonable Business Judgment, in any manner: (a) the System including, without limitation, the Confidential Information, the Licensed Marks, the Bookings and Management System Data, and the Operations Manual; (b) any methods, procedures, or techniques associated with the System in which Franchisor possesses proprietary rights or constitute Franchisor's trade secrets; (c) System Supplies, including communicating with or ordering products from Franchisor's designated suppliers and vendors of System Supplies; (d) the Approved Services and Products; and (e) any other advertising, marketing, media, and any other information, documents or things associated with Franchisor, the System, the Licensed Marks, Casiola Businesses, the Franchised Business, and Franchisee's former Casiola Business, including, without limitation, any confidential, proprietary methods, procedures, descriptions of products, techniques, trade secrets, proprietary marks, distinctive forms, slogans, symbols, signs, stationary, advertising material, articles, logos, devices, items and all other things, tangible or intangible, associated with Franchisor, the System, the Licensed Marks, and Casiola Businesses;
(4) Return to Franchisor the Operations Manual (including any and all parts, supplements, and copies of the Operations Manual), the Confidential Information (including without limitation the Bookings and Management System Data and all customer lists and information), and all other confidential materials, equipment, software, information, and property owned by Franchisor and all copies thereof provided, however, that Franchisee may retain Franchisee's copies of this Agreement, correspondence between Franchisor and Franchisee, but not including Confidential Information that may be contained in or attached thereto, and other documents that Franchisee needs to retain pursuant to applicable law;
(5) Permanently cease accessing, immediately disconnect from, and discontinue using any and all digital media, intra-nets, cloud based systems, and/or servers that store, maintain, and/or provide access to the Operations Manual, Confidential Information, and all other standards, specifications of
Source: Item 23 — RECEIPTS (FDD pages 47–209)
What This Means (2024 FDD)
According to Casiola's 2024 Franchise Disclosure Document, upon termination or expiration of the Franchise Agreement, the franchisee must permanently cease using the Casiola System. This prohibition extends to the Confidential Information, Licensed Marks, Bookings and Management System Data, and the Operations Manual. The franchisee is also barred from using any methods, procedures, or techniques associated with the Casiola System in which Casiola possesses proprietary rights or that constitute Casiola's trade secrets.
This extends to System Supplies, which includes refraining from communicating with or ordering products from Casiola's designated suppliers and vendors. The franchisee must also cease using the Approved Services and Products, as well as any advertising, marketing, media, and other information associated with Casiola, the Casiola System, the Licensed Marks, Casiola Businesses, the Franchised Business, and the franchisee's former Casiola Business. This includes any confidential, proprietary methods, procedures, descriptions of products, techniques, trade secrets, proprietary marks, distinctive forms, slogans, symbols, signs, stationary, advertising material, articles, logos, devices, items, and all other tangible or intangible things associated with Casiola.
The franchisee must also return the Operations Manual, Confidential Information (including the Bookings and Management System Data and all customer lists and information), and all other confidential materials, equipment, software, information, and property owned by Casiola. The franchisee must cease accessing, disconnect from, and discontinue using any digital media, intra-nets, cloud-based systems, and/or servers that store, maintain, and/or provide access to the Operations Manual, Confidential Information, and all other standards and specifications of Casiola.
However, there are exceptions. The franchisee may continue to use the Casiola System if directed by Casiola in writing and related to the franchisee's performance and completion of Wind-Down Activities, as designated and determined by Casiola in its Reasonable Business Judgment. Additionally, the franchisee may retain copies of the Franchise Agreement, correspondence between Casiola and the franchisee (excluding Confidential Information), and other documents that the franchisee needs to retain pursuant to applicable law.