To whom can a Cream franchisee disclose Confidential Information?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
- (c) keep confidential and not disclose, sell, distribute, or trade our Confidential Information to any person other than those of your employees and representatives who need to know such Confidential Information for the purpose of assisting you in operating your Shop in accordance with this Agreement; and you agree that you will be responsible for any violation of this requirement by any person to whom you provide Confidential Information;
Source: Item 23 — RECEIPTS (FDD pages 61–192)
What This Means (2025 FDD)
According to Cream's 2025 Franchise Disclosure Document, franchisees can disclose Confidential Information to their employees and representatives. However, this disclosure is strictly limited to those employees and representatives who need to know the Confidential Information to assist the franchisee in operating their Cream shop, as outlined in the Franchise Agreement.
Cream franchisees must ensure that these individuals understand the confidential nature of the information and are responsible for any violations of this confidentiality requirement by anyone to whom they provide the information. This means franchisees need to implement internal policies and training to safeguard Cream's Confidential Information when sharing it with employees or representatives.
The FDD emphasizes that unauthorized disclosure or use of Cream's Confidential Information would be an unfair method of competition and a breach of trust, potentially causing irreparable harm to Cream and its affiliates. This underscores the importance of franchisees taking proactive measures to protect this information and only sharing it on a need-to-know basis with those directly involved in the Cream business.
In summary, while Cream franchisees have some leeway to share Confidential Information, it is not a blanket permission. Franchisees must carefully control and monitor any disclosures to maintain the confidentiality that Cream requires, or risk facing significant repercussions.