Where can I find more detailed information about my obligations as a Cordova franchisee?
Cordova Franchise · 2025 FDDAnswer from 2025 FDD Document
ue to Franchisor under this Agreement. Among other things and without limitation to the foregoing, Franchisee expressly agrees that any claim by Franchisee as to the alleged non-performance of Franchisor's obligations shall not permit and/or entitle Franchisee to withhold payments due Franchisor under this Agreement.
ARTICLE 6 RESTRICTIVE COVENANTS AND OBLIGATIONS
6.A. NECESSITY FOR RESTRICTIVE COVENANTS
Franchisee agrees that only through the course of entering into this Agreement is Franchisee being provided with access to the System, Franchisor's training, use of the Licensed Marks, and access to the Operations Manual and Confidential Information. Franchisee agrees that competition by Franchisee, Owners, Spouses and/or their immediate family members will jeopardize the System and cause irreparable harm to Franchisor and franchisees of Cordova Businesses. Accordingly, Franchisee and Franchisee's Owners and Spouses agree to comply with the restrictive covenants set forth in this Agreement, including this Article 6.
6.B. RESTRICTIVE COVENANTS: KNOW-HOW
Franchisee agrees that, at all times, both during the Term of this Agreement and, after its expiration or termination, Franchisee: (a) shall not use the Know-How in any business or capacity other than the operation of the Franchised Business pursuant to this Agreement and as instructed by Franchisor; (b) shall maintain the confidentiality of the Know-How at all times; (c) shall not make unauthorized copies of documents containing any Know-How; (d) shall take all reasonable steps that Franchisor requires from time to time to prevent unauthorized use or disclosure of the Know-How; and (e) shall stop using the Know-How immediately upon the expiration, termination or Transfer of this Agreement. Franchisee agrees that the foregoing covenants shall also apply to: (a) Franchisee's Owners and Spouses and, that Franchisee's Owners and Spouses shall each execute and deliver to Franchisor the Franchise Owner and Spouse Agreement and Guaranty in the form attached to this Agreement as Exhibit 1; and (b) Franchisee's directors, officers, employees and agents where disclosure of the Know-How was necessary for the operations of the Franchised Business and where such director, officer, employee and/or agent previously executed and timely delivered to Franchisor the Confidentiality Agreement in the form attached as Exhibit 2.
6.C. RESTRICTIVE COVENANTS: CONFIDENTIAL INFORMATION
Franchisee agrees that, at all times, both during the Term of this Agreement and after its expiration or termination, Franchisee: (a) shall not use the Confidential Information in any business or capacity other than the Cordova Business operated by Franchisee; (b) shall maintain the confidentiality of the Confidential Information at all times; (c) shall not make unauthorized copies of documents containing any Confidential Information; (d) shall take such reasonable steps as Franchisor may ask of Franchisee from time to time to prevent unauthorized use or disclosure of the Confidential Information;
Source: Item 9 — FRANCHISEE'S OBLIGATIONS (FDD page 22)
What This Means (2025 FDD)
According to the 2025 Cordova FDD, details regarding a franchisee's obligations can be found throughout the Franchise Agreement and related documents. Article 6 of the Franchise Agreement specifically addresses restrictive covenants and obligations, outlining what a franchisee can and cannot do, both during and after the term of the agreement. This includes maintaining the confidentiality of Cordova's confidential information, and adhering to in-term non-competition obligations.
The FDD mentions several key areas where franchisee obligations are detailed. These include operational standards, maintenance and preservation of records, and compliance with laws and good business practices. Franchisees are required to maintain full, complete, and accurate books, records, and accounts from the Franchised Business for at least three years, in the form and manner prescribed in the Operations Manual.
Furthermore, the Franchise Agreement includes exhibits such as the Franchise Owner and Spouse Agreement and Guaranty (Exhibit 1) and a sample Confidentiality Agreement (Exhibit 2), which further elaborate on specific obligations. The Operations Manual, listed in the Table of Contents, also contains critical information on how to operate the franchise in accordance with Cordova's standards. Prospective franchisees should carefully review these documents and consult with legal counsel to fully understand their duties and responsibilities under the Franchise Agreement.