What are some examples of 'Trade Secrets' that Cinnabon considers to be protected?
Cinnabon Franchise · 2025 FDDAnswer from 2025 FDD Document
In addition, we or our affiliates may disclose to you Trade Secrets. "Trade Secrets" means information that derives independent economic value, actual or potential, from not being generally known to, and not being readily ascertainable by proper means by, other persons who can obtain economic value from its disclosure or use. Without limiting the definition of "Trade Secrets," the following are considered to be Trade Secrets: (i) the composition of our Proprietary Goods; (ii) our Recipes; (iii) advertising, marketing, and public relations strategies; and (iv) our marketing analyses.
You may never, during the term of the Franchise Agreement, any renewal term of the Franchise Agreement, or after the Franchise Agreement expires or is terminated, reveal any of our Confidential Information or Trade Secrets to another person or use it for any other person or business. You may not copy any of our Confidential Information or Trade Secrets or give it to a third party except as we authorize. These restrictions must be followed even before you open your Bakery, since you will receive valuable information and training about the System and the operation of the Bakery before you begin operations.
You will require that all persons employed in your Bakery having access to Confidential Information and Trade Secrets are aware of the confidentiality restrictions set forth in the Franchise Agreement and similarly bind them not to disclose the Confidential Information and Trade Secrets by an agreement at least as restrictive as the terms of the Franchise Agreement.
Innovations
All ideas, concepts, techniques, or materials relating to a Bakery or the System or derivations or modifications of our intellectual property or any other element of the System (collectively, "Innovations"), whether or not protectable intellectual property and whether created by or for you or your Owners, employees, or contractors, must be promptly disclosed to us and will be deemed to be our sole and exclusive property, part of the System, and works made-for-hire for us. To the extent any Innovation does not qualify as a work made-for-hire for us, you must assign ownership of that Innovation, and all related rights to that Innovation, to us and agree to sign (and to cause your Owners, employees, and contractors to sign) whatever assignment or other documents we request to evidence our ownership or to help us obtain intellectual property rights in the Innovation. We and our affiliates have no obligation to make any payments to you or any other
Source: Item 14 — Patents, Copyrights, and Proprietary Information (FDD pages 89–91)
What This Means (2025 FDD)
According to Cinnabon's 2025 Franchise Disclosure Document, Trade Secrets are defined as information that holds independent economic value because it is not widely known and cannot be easily discovered by others who could profit from its disclosure or use. Cinnabon considers several elements to be Trade Secrets, including the composition of their Proprietary Goods, Recipes, advertising, marketing, and public relations strategies, and marketing analyses.
Cinnabon franchisees are strictly prohibited from revealing any Confidential Information or Trade Secrets to any other person or using it for any other person or business during the term of the Franchise Agreement, any renewal term, or even after the Franchise Agreement expires or is terminated. Franchisees are also barred from copying any Confidential Information or Trade Secrets or providing it to a third party unless specifically authorized by Cinnabon. These restrictions apply even before the bakery opens, as franchisees receive valuable information and training about the Cinnabon system and bakery operations early on.
Furthermore, Cinnabon requires franchisees to ensure that all employees with access to Confidential Information and Trade Secrets are aware of and bound by confidentiality restrictions at least as restrictive as those in the Franchise Agreement. This is typically achieved through an agreement signed by the employees. All ideas, concepts, techniques, or materials relating to a Bakery or the System or derivations or modifications of Cinnabon's intellectual property or any other element of the System are Innovations that must be disclosed to Cinnabon and will be deemed to be Cinnabon's sole and exclusive property.