Is the existence of the Christian Brothers Automotive agreement considered confidential?
Christian_Brothers_Automotive Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisor is willing to provide Franchisee with ongoing access to Franchisor's
Confidential Information only if Franchisor is assured by Franchisee that
Franchisee will not use such Confidential Information to compete with Franchisor,
nor disclose any such Confidential Information to any party without Franchisor's
prior written consent.
(d) The agreements and covenants contained herein are intended by the Franchisor and
the Franchisee to be enforceable only to the extent permitted by law, and the
Franchisor and the Franchisee agree that in any action or proceeding by the
Franchisee challenging the enforceability of the provisions and covenants herein
contained, the proper scope of any such challenge or proceeding shall be only the
extent to which the provisions and covenants are sought to be enforced by the
Franchisor. If, in any judicial proceeding or arbitration, a tribunal shall refuse to
enforce as drafted all of the separate covenants and provisions included herein, such
unenforceable covenants and provisions shall be reformed by the tribunal so as to
fall within permissible legal limits and shall not by necessity invalidate the entire
covenant. Franchisee expressly agrees to be bound by any lesser covenant
subsumed within the terms of Section 16 of this Agreement as if the resulting
covenant were separately stated in and made a part hereof.
(e) A breach or violation of the Covenants Not to Compete contained in Section 16 of
this Agreement by Franchisee shall entitle the Franchisor, as a matter of right,
without the posting of any bond, to an injunction issued by any court of competent
jurisdiction, restraining any further or continued breach or violation of this
covenant. Such right to an injunction shall be cumulative and in addition to, and
Source: Item 23 — RECEIPTS (FDD pages 76–372)
What This Means (2025 FDD)
According to the 2025 Christian Brothers Automotive Franchise Disclosure Document, the agreement itself is not explicitly stated to be confidential. However, the document emphasizes the confidentiality of certain information and materials provided to the franchisee.
The franchisee is granted access to Christian Brothers Automotive's Confidential Information, and Christian Brothers Automotive requires assurance from the franchisee that this information will not be used to compete with them or disclosed to any third party without prior written consent. This obligation extends both during the term of the agreement and after its termination. The agreement also states that Christian Brothers Automotive would not grant a license to operate the franchised business or provide access to Confidential Information unless the franchisor's business goodwill and Confidential Information could be protected.
The franchisee must treat the Confidential Operations Manual and all information within it as confidential, taking necessary precautions to maintain its secrecy. This includes not using Christian Brothers Automotive's trade secrets, procedures, techniques, or Confidential Information acquired through the franchise relationship. Franchisees are also required to have their employees sign a non-disclosure agreement to protect this information.