Regarding Crawlspace Medic, what is a covenantor obligated to do with Confidential Information at all times?
Crawlspace_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
epresentations, promises and covenants made by Covenantor herein.
NOW, THEREFORE, in consideration of the mutual covenants and obligations contained herein, the parties agree as follows:
1. Confidentiality Agreement.
- a. Covenantor shall, at all times, maintain the confidentiality of the Confidential Information and shall use such Confidential Information only in the course of his or her employment by or association with Franchisee in connection with the operation of a Franchised Business under the Franchise Agreement.
- b. Covenantor shall not at any time make copies of any documents or compilations containing some or all of the Confidential Information without Franchisor's express written permission.
- c. Covenantor shall not at any time disclose or permit the disclosure of the Confidential Information except, and only then to the limited extent necessary, to those employees of Franchisee for training and assisting such employees in the operation of the Franchised Business.
Source: Item 22 — CONTRACTS (FDD page 42)
What This Means (2024 FDD)
According to Crawlspace Medic's 2024 Franchise Disclosure Document, a covenantor, who gains access to confidential information, is obligated to maintain the confidentiality of this information at all times. The covenantor can only use the confidential information during their employment or association with the franchisee, specifically in connection with operating the franchised Crawlspace Medic business.
This obligation means the covenantor cannot disclose the confidential information to unauthorized parties. The covenantor is also prohibited from making copies of documents containing confidential information without the express written permission of Crawlspace Medic. The covenantor can only disclose confidential information to the franchisee's employees, and only to the extent necessary for training and assisting them in operating the franchised business.
Upon request or termination of employment, the covenantor must surrender any material containing confidential information to the franchisee or Crawlspace Medic. This ensures that the confidential information remains protected and is not misused after the covenantor's association with the franchise ends. These measures are in place to protect Crawlspace Medic's trade secrets and maintain its competitive advantage within the crawlspace service industry.