If Chicken Guy requests, what written confirmation must a Potential Franchisee provide regarding the Confidential Information?
Chicken_Guy Franchise · 2025 FDDAnswer from 2025 FDD Document
If, at any time, Chicken Guy determines that it does not wish for Potential Franchisee to purchase a Franchise or Potential Franchisee determines that it does not wish to purchase a Franchise, or if Chicken Guy requests, at any time and for any reason, that Potential Franchisee do so, Potential Franchisee agrees to: (1) immediately cease to use the Confidential Information; (2) immediately return, or destroy the Confidential Information and all copies thereof (whether or not such copies were authorized) and cause any third party to whom disclosure was made to do the same; and (3) at the request of Chicken Guy, certify in writing that Potential Franchisee and all others to whom Potential Franchisee has provided such Confidential Information, have complied with subsections (1) and (2) above.
Source: Item 23 — RECEIPTS (FDD pages 50–286)
What This Means (2025 FDD)
According to Chicken Guy's 2025 Franchise Disclosure Document, if Chicken Guy requests, at any time and for any reason, that a Potential Franchisee cease pursuing a franchise, the Potential Franchisee must provide written certification. This written certification confirms that the Potential Franchisee has stopped using the Confidential Information and has either returned or destroyed the Confidential Information and all copies, including ensuring any third parties who received the information have done the same.
This requirement ensures that Chicken Guy can maintain control over its proprietary information and prevent its misuse by parties who do not become franchisees. It is a standard practice in franchising to protect trade secrets and confidential business information shared with potential franchisees during the evaluation process.
For a prospective Chicken Guy franchisee, this means being prepared to document the destruction or return of all confidential materials if the franchise agreement is not finalized or if Chicken Guy requests it. Failure to comply with this request could result in legal action, as the agreement emphasizes the importance of protecting Chicken Guy's confidential information.