What part of the Coffee News Franchise Agreement discusses the use of trade secrets?
Coffee_News Franchise · 2025 FDDAnswer from 2025 FDD Document
| ITEMS COFFEE NEWS FRANCHISE AGREEMENT | PAGE 1 |
|---|---|
| 6. NAMES, MARKS, TRADE SECRETS, AND COPYRIGHTS | 6 |
| 6.1 Franchise of "Coffee News" Name and Format | 6 |
| 6.2 Use of Trade Secrets | 7 |
| 6.3 Copyrights | 7 |
- 6.2 Use of Trade Secrets. Franchisee shall not directly or indirectly furnish to any other party any confidential information as to the "Coffee News" Format, methods of operation, advertising, promotion, ideas or any other information relating to Franchisor's business of "Coffee News" without the written consent of Franchisor. The provisions contained herein shall survive the termination, expiration, transfer, assignment, of this Agreement. Franchisee shall execute a non-disclosure or confidentiality agreement with its employees, officers, key personnel, agents, or stockholders, as the case may be, that such employees, officers, key personnel, agents, or stockholders, as the case may be, shall be bound by the contractual provisions contained in this paragraph, and will be liable for damages, reasonable attorney fees and court cost if the Franchisor has to enforce their contractual rights by legal actions.
Source: Item 23 — Receipts (FDD pages 36–118)
What This Means (2025 FDD)
According to the 2025 Coffee News Franchise Disclosure Document, section 6 of the franchise agreement covers names, marks, trade secrets, and copyrights. Specifically, section 6.2 details the use of trade secrets.
This section of the agreement states that a Coffee News franchisee cannot directly or indirectly share any confidential information about the Coffee News format, operational methods, advertising, promotional strategies, ideas, or any other information related to the Coffee News business without the franchisor's written consent. This restriction extends beyond the termination, expiration, transfer, or assignment of the agreement, meaning the franchisee's obligation to protect this information continues even after the franchise relationship ends.
Furthermore, Coffee News requires franchisees to have their employees, officers, key personnel, agents, or stockholders sign a non-disclosure or confidentiality agreement. This agreement ensures that these individuals are also bound by the confidentiality provisions outlined in the franchise agreement. If Coffee News has to take legal action to enforce these confidentiality rights, the franchisee may be liable for damages, reasonable attorney fees, and court costs.