Is the Confidentiality, Non-Disclosure and Non-Competition Agreement required for non-affiliated spouses of Closet Storage Concepts franchisee owners?

5.7 Trade Secrets and Confidential Information. The System is unique and Franchisee may receive confidential information which may include, without limitation: (i) design specifications; (ii) methods, formats, specifications, standards, systems, procedures, sales and marketing techniques; (iii) knowledge of specifications for and suppliers of, and methods of ordering, certain products, materials, equipment and supplies; (iv) knowledge of the operating results and financial performance of other Closet & Storage Concepts businesses; (v) the Operations Manual; (vi) training materials and programs; (vii) customer data; (viii) all password-protected portions of Franchisor's website, intranets and extranets and the information they contain (including the email addresses of franchisees); and (ix) specifics regarding the inner workings of computer software, applications or other technology used by the System ("Confidential Information"). Franchisee shall use the Confidential Information only for the purposes and in the manner authorized in writing by Franchisor, and its use shall inure to the benefit of Franchisor. Franchisee shall inform all employees before communicating or divulging any Confidential Information to them of their obligation of confidence. Franchisee shall be liable to Franchisor for the actions of any such individuals with respect to the Confidential Information. In addition, subject to applicable law, Franchisee shall obtain a written agreement in the form attached as Exhibit "3(a)" from Franchisee's employees and any other person having access to the Operations Manual or to whom Franchisee wishes to disclose any Confidential Information that they shall maintain the confidentiality of the Confidential Information and they shall recognize Franchisor as a third-party beneficiary with the independent right to enforce the covenants either directly in Franchisor's own name as beneficiary or acting as agent. Spouses of Franchisees must sign the Confidentiality, Non-Disclosure and Non-Competition Agreement in the form attached as Exhibit "3(b)". All executed agreements must be forwarded to Franchisor. Franchisee hereby appoints Franchisor as its agent with respect to the enforcement of these covenants. Franchisee shall retain all written Confidentiality Agreements with Franchisee's business records for the time period specified in the Operations Manual. Franchisee shall enforce all covenants and shall give Franchisor notice of any breach or suspected breach

of which Franchisee has knowledge.

Source: Item 22 — CONTRACTS (FDD page 59)