Besides employees and representatives, is a Cream franchisee allowed to disclose Cream's Confidential Information to any other person?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
ion that you will protect it. You acknowledge that any unauthorized use or disclosure of our Confidential Information would be an unfair method of competition and a breach of trust and confidence and will result in irreparable harm to us and/or our affiliates. You and your owners agree to (and to use each of your best efforts to cause each of your respective current and former spouses, immediate family members, owners, officers, directors, employees, representatives, affiliates, successors and assigns to):
- (a) process, retain, use, collect, and disclose our Confidential Information strictly to the limited extent, and in such a manner, as necessary for the development and operation of your Shop in accordance with this Agreement, and not for any other purpose of any kind;
Source: Item 23 — RECEIPTS (FDD pages 61–192)
What This Means (2025 FDD)
According to the 2025 FDD, Cream franchisees are generally prohibited from disclosing Cream's Confidential Information to any person other than their employees and representatives who need to know the information to assist with exercising development rights or operating Jeni's Ice Creams Scoop Shops. This restriction is in place to protect Cream's trade secrets and proprietary information.
The FDD emphasizes that any unauthorized use or disclosure of Cream's Confidential Information would be considered an unfair method of competition and a breach of trust, potentially causing irreparable harm to Cream and its affiliates. Franchisees are responsible for ensuring that anyone they provide Confidential Information to, including employees and representatives, complies with these confidentiality requirements.
This means a Cream franchisee must implement strict internal controls to manage and protect Confidential Information. They need to train their staff on what constitutes Confidential Information and the importance of keeping it secure. Franchisees should also have agreements in place with employees and representatives to ensure they understand and agree to maintain the confidentiality of the information they access. Failure to adequately protect this information could lead to legal repercussions and damage the franchisee's relationship with Cream.