What agreement does a City Publications franchisee make regarding the use of Confidential Information?
City_Publications Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisor shall disclose Confidential Information to Franchisee in the training program, the Manual and in guidance furnished to Franchisee during the term of this Agreement. Franchisee shall not acquire any interest in the Confidential Information, other than the right to utilize it in performing certain duties during the term of this Agreement, and Franchisee acknowledges that the use or duplication of the Confidential Information in any other business venture would constitute an unfair method of competition. Franchisee acknowledges and agrees that the Confidential Information is proprietary, includes Franchisor's trade secrets, and is disclosed to Franchisee solely on the condition that Franchisee (and its shareholders, officers, partners, members or managers, if Franchisee is a corporation, partnership, limited liability company or other business entity) does hereby agree that it: (a) shall not use the Confidential Information in any other business or capacity; (b) shall maintain the absolute confidentiality of the Confidential Information during and after the term of this Agreement; (c) shall not make unauthorized copies of any portion of the Confidential Information disclosed in written or other tangible form; and (d) shall adopt and implement all reasonable procedures prescribed from time to time by Franchisor to prevent unauthorized use or disclosure of the Confidential Information. Franchisee agrees to enforce the preceding provisions of this Section as to its employees, agents and representatives and shall be liable to Franchisor for any unauthorized disclosure or use of Confidential Information by any of them.
Source: Item 23 — RECEIPT (FDD pages 39–129)
What This Means (2025 FDD)
According to City Publications' 2025 Franchise Disclosure Document, franchisees receive confidential information during training, through the manual, and via ongoing guidance. Franchisees do not acquire any ownership of this confidential information but are granted the right to use it while the Franchise Agreement is active. City Publications considers the use or duplication of confidential information in other business ventures as unfair competition.
The agreement specifies that franchisees acknowledge the proprietary nature of the confidential information, including City Publications' trade secrets. Franchisees agree not to use this information in any other business or capacity, to maintain its absolute confidentiality both during and after the term of the agreement, and not to make unauthorized copies of any confidential information disclosed in written or tangible form.
Furthermore, franchisees must implement procedures prescribed by City Publications to prevent unauthorized use or disclosure of confidential information. Franchisees are responsible for ensuring their employees, agents, and representatives also adhere to these confidentiality provisions and are liable for any unauthorized disclosure or use of confidential information by them. This extends the confidentiality obligations beyond just the franchisee to anyone acting on their behalf.