What is considered 'Confidential Information' related to the Cicis franchise?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
B. Confidentiality; Innovations. You and your Owners and personnel may from time to time be provided with or otherwise be exposed to certain information about the System and the development and operation of Cicis Restaurants, including your Restaurant (some, but not all of which may be "trade secrets" under applicable law), that we consider and protect as our confidential information (regardless of whether they are marked as such), including the following (collectively, the "Confidential Information"):
- (1) growth and development plans, strategies, and forecasts related to the System;
- (2) site selection criteria;
- (3) initial or additional training and operations materials, including recipes and the Manuals;
- (4) the System Standards and other methods, formats, specifications, standards, systems, procedures, techniques, market research, customer data, knowledge, and experience used in developing, promoting and operating Cicis Restaurants;
- (5) knowledge of specifications for, and vendors of, assets and other products and supplies;
- (6) any software or other technology which is proprietary to us, our affiliates, or the System, including digital passwords and identifications and any source code of, and data, reports, and other materials generated by, the software or other technology;
- (7) customers of Cicis Restaurants (including your Restaurant); and
- (8) knowledge of the operating results and financial performance of Cicis Restaurants (including your Restaurant).
Confidential Information does not include information, knowledge, or know-how, which is lawfully known to the public without violation of applicable law or an obligation to us or our affiliates.
You agree that you, your Owners, your employees and independent contractors will adopt and implement reasonable procedures to prevent unauthorized use or disclosure of the Confidential Information. Further, you and your Owners, and your employees, and independent contractors will not, during the Term or at any time thereafter, disclose any of our Confidential Information to any other Person or use any of our Confidential Information for any purposes other than the business you own and operate pursuant to this Agreement.
Source: Item 22 — CONTRACTS (FDD pages 64–65)
What This Means (2025 FDD)
According to Cicis's 2025 Franchise Disclosure Document, Confidential Information includes various details about the Cicis system that are protected, regardless of whether they are marked as such. This encompasses growth and development plans, strategies, and forecasts related to the Cicis system, as well as the criteria used for site selection. Franchisees also gain access to confidential initial and additional training and operations materials, including recipes and manuals, which are considered part of this protected information.
Furthermore, the Confidential Information extends to the System Standards, methods, formats, specifications, systems, procedures, techniques, market research, customer data, knowledge, and experience used in developing, promoting, and operating Cicis Restaurants. Knowledge of specifications for assets and vendors, proprietary software or technology (including digital passwords and source code), customer information, and operating results and financial performance of Cicis Restaurants are also included.
However, information that is already lawfully known to the public without any violation of applicable law or obligation to Cicis is not considered Confidential Information. Franchisees, their owners, employees, and independent contractors must adopt reasonable procedures to prevent unauthorized use or disclosure of Confidential Information. During the term of the Franchise Agreement and thereafter, franchisees are prohibited from disclosing any Confidential Information to any other person or using it for any purposes other than the business they own and operate under the agreement.
This confidentiality clause is a standard practice in franchising to protect the franchisor's proprietary information and maintain a competitive advantage. Prospective Cicis franchisees should understand the scope of this clause and ensure they have adequate procedures in place to safeguard Confidential Information, as any breach could have legal and financial consequences.