Under what circumstances can the terms of the Cool Binz non-compete addendum be disclosed?
Cool_Binz Franchise · 2025 FDDAnswer from 2025 FDD Document
The terms of this Addendum shall remain confidential and may not be disclosed except when and to the extent necessary to comply with applicable federal, state, or local laws or regulations.
Source: Item 23 — RECEIPTS (FDD pages 63–238)
What This Means (2025 FDD)
According to Cool Binz's 2025 Franchise Disclosure Document, the terms of the non-compete addendum must remain confidential. However, there is an exception. The terms can be disclosed when necessary to comply with applicable federal, state, or local laws or regulations.
This means that a Cool Binz franchisee is generally prohibited from sharing the specifics of their non-compete agreement with others. This is to protect Cool Binz's interests and maintain the confidentiality of their business practices.
However, if a legal or regulatory requirement arises that necessitates the disclosure of the non-compete terms, the franchisee is permitted to do so. This could occur, for example, during a legal proceeding or in response to a government inquiry. It is important for prospective franchisees to understand this exception and to seek legal counsel if they have any questions about the scope of the non-compete agreement or when disclosure may be required.