What are the obligations of a potential Cool Binz franchisee regarding the use and disclosure of Confidential Information received from Cool Binz International, LLC?
Cool_Binz Franchise · 2025 FDDAnswer from 2025 FDD Document
With respect to determining the feasibility of whether or not to purchase a COOL BINZ franchise, Cool Binz International, LLC, is prepared to provide you with certain financial, business, marketing, and operational information concerning the business operations of Cool Binz International, LLC.
We are able to provide you this information with your explicit understanding and agreement that you recognize and agree that this information is confidential and valuable, and that this information constitutes special and unique proprietary rights and assets of Cool Binz International, LLC.
The term "Confidential Information" shall mean and include any and all information disclosed by us to you relating to the COOL BINZ business and potential trade name and internet web names, whether copyrighted or patented. Provided; however, Confidential Information shall not include information which:
- A. Is disclosed to you following the date of this Agreement by a third party who is not under an obligation to keep the information confidential;
- B. Is or becomes publicly disclosed through no act or omission of yours; and/or
- C. Information previously known by you prior to contact with us.
In accepting this Confidential Information, you agree that you will not disclose it to any third party or make use of it yourself, in any regard, with the exception that it may disclosed to an attorney, accountant or business consultant that you utilize as part of your due diligence process, provided you assure they are informed of and comply with all the terms of this Confidentiality and Non-Disclosure Agreement.
You further agree to maintain the confidentiality of any and all confidential information which has been provided to you in a manner using at least the same degree of care as the manner used to maintain the confidentiality of your most confidential information.
In the event that you do not purchase a COOL BINZ business, or upon our request at any time, you agree to return all materials furnished to you or to certify in writing that such information has been destroyed.
You further recognize that breach of this Confidentiality and Non-Disclosure Agreement by you will cause severe and irreparable damage to Cool Binz International, LLC, and that Cool Binz International, LLC, may pursue all of its rights and remedies after any breach, including specific performance.
Source: Item 23 — RECEIPTS (FDD pages 63–238)
What This Means (2025 FDD)
According to Cool Binz's 2025 Franchise Disclosure Document, a potential franchisee is obligated to protect the confidentiality of information received from Cool Binz International, LLC. This obligation begins when Cool Binz shares financial, business, marketing, and operational information to assess the feasibility of purchasing a Cool Binz franchise. The franchisee acknowledges that this information is confidential, valuable, and constitutes Cool Binz's proprietary rights. The term "Confidential Information" includes all data disclosed relating to the Cool Binz business, potential trade names, and internet web names, whether copyrighted or patented. Exceptions exist for information disclosed by a third party without confidentiality obligations, information that becomes public without the franchisee's fault, or information already known to the franchisee.
The franchisee agrees not to disclose Confidential Information to any third party or use it themselves, except for disclosures to their attorney, accountant, or business consultant for due diligence, provided these professionals also comply with the confidentiality agreement. The franchisee must maintain the confidentiality of the information with at least the same degree of care they use to protect their own most confidential information. If the franchisee does not purchase a Cool Binz franchise, or upon request, they must return or certify the destruction of all furnished materials.
Breaching the Confidentiality and Non-Disclosure Agreement can cause severe damage to Cool Binz, allowing Cool Binz International, LLC to pursue all available rights and remedies, including specific performance. This underscores the importance of understanding and adhering to the terms of the agreement to avoid potential legal repercussions. Prospective franchisees should carefully review the scope of confidential information and the permitted uses to ensure compliance during their evaluation of the franchise opportunity.