What must Crawlspace Medic franchisee employees do before being given access to Confidential Information?
Crawlspace_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
WHEREAS, in connection with his or her duties, it will be necessary for Covenantor to have access to some or all of the confidential information, knowledge, know-how, techniques, contents of the Crawlspace Medic operations manual and other materials used in or related to the System and/or concerning the methods of operation of the System (collectively referred to as "Confidential Information");
WHEREAS, the Confidential Information provides economic advantages to Franchisor and licensed users of the System, including Franchisee;
WHEREAS, Franchisee has acknowledged the importance of restricting the use, access and dissemination of the Confidential Information, and Franchisee therefore has agreed to obtain from Covenantor a written agreement protecting the Confidential Information and further protecting the System against unfair competition; and
WHEREAS, Covenantor acknowledges that receipt of and the right to use the Confidential Information constitutes independent valuable consideration for the representations, promises and covenants made by Covenantor herein.
NOW, THEREFORE, in consideration of the mutual covenants and obligations contained herein, the parties agree as follows:
Source: Item 22 — CONTRACTS (FDD page 42)
What This Means (2024 FDD)
According to Crawlspace Medic's 2024 Franchise Disclosure Document, a franchisee must obtain a written agreement from their employees (referred to as Covenantors) to protect the Confidential Information and the Crawlspace Medic system against unfair competition before the employees can access confidential information. This agreement acknowledges the importance of restricting the use, access, and dissemination of the Confidential Information. The employee's access to confidential information is contingent upon signing this agreement.
The agreement ensures that employees maintain the confidentiality of the Confidential Information and use it only in connection with their employment for the Crawlspace Medic franchise. Employees are prohibited from making copies of documents containing Confidential Information without the franchisor's express written permission. Disclosure of Confidential Information is limited to only those employees of the franchisee who require it for training and assisting in the operation of the franchised business.
This requirement is a standard practice in franchising to protect the franchisor's proprietary information and maintain a competitive advantage. The agreement also includes clauses regarding non-competition, preventing employees from engaging in activities that could harm the Crawlspace Medic system during and for a period after their employment. The franchisee bears the responsibility of ensuring that all employees who have access to Confidential Information sign and adhere to this agreement.