What is the Individual's obligation regarding information designated as confidential by Checkers' entities or officers?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
Furthermore, any and all information, knowledge,
know-how, techniques and information which the entities mentioned above or their officers designate as confidential is considered (and hereby acknowledged by me as) Confidential Information for the purposes of this Agreement, except information which I can demonstrate came to my attention before disclosure or which had become or becomes a part of the public domain through publication or communication by others (unless the publication or communication violates a similar confidentiality agreement), but in no event through any act of mine.
Source: Item 22 — CONTRACTS (FDD pages 91–92)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, individuals associated with a franchisee (employees, owners, etc.) must treat information designated as confidential by Checkers or its officers as Confidential Information. This obligation extends both during their association with the franchisee and afterward. The only exceptions are for information that the individual can prove they already knew before disclosure, or that has become public knowledge through legitimate means (not due to their own breach of confidentiality).
This means a Checkers franchisee and their team must protect a wide range of sensitive business data. This includes everything from recipes and food preparation methods to site selection criteria, marketing strategies, supplier information, and financial performance data. The agreement emphasizes that even information not explicitly labeled confidential can be considered as such if it would reasonably be understood to be proprietary.
For a prospective Checkers franchisee, this highlights the importance of carefully managing information and training staff to maintain confidentiality. Franchisees must ensure their employees understand what constitutes Confidential Information and their obligations to protect it. Failure to do so could result in legal repercussions and damage the Checkers brand. Franchisees should also establish clear procedures for handling and storing sensitive data to prevent unauthorized access or disclosure.