factual

Besides operating the Circle K premises, what other purposes is a licensee prohibited from using or disclosing Confidential Information for?

Circle_K Franchise · 2025 FDD

Answer from 2025 FDD Document

  • (b) Licensee may not use, or cause or permit to be used by, or disclose to, or cause or permit to be disclosed to, third parties any Confidential Information for purposes other than operating the Premises under this Agreement.

Source: Item 23 — RECEIPTS (FDD pages 100–359)

What This Means (2025 FDD)

According to the 2025 Circle K Franchise Disclosure Document, a licensee is explicitly prohibited from using or disclosing any Confidential Information for purposes other than operating the Circle K premises under the Branding Agreement. This restriction extends to causing or permitting third parties to use or disclose such information for any other purpose.

This means a Circle K licensee must ensure that all confidential information, including guidelines, manuals, methods, policies, procedures, programs, software, and strategies, is strictly used for the operation of their Circle K location. They cannot use this information for any personal business ventures, share it with competitors, or use it in any way that does not directly support their Circle K franchise.

The agreement emphasizes that failure to comply with these confidentiality requirements will cause irreparable injury to TMC. The confidentiality provisions survive the termination or expiration of the Branding Agreement, meaning the licensee's obligation to protect confidential information continues even after the agreement ends. This is a standard practice in franchising to protect the brand's proprietary information and maintain a competitive advantage.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.