How must Cream franchisees process, retain, use, collect, and disclose Confidential Information?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
(7) any software or technology which is proprietary to the System, including any login credentials for, source code of, and data, reports, and other materials generated by, the software or similar technology; (8) knowledge of the operating results and financial performance of any Jeni's Ice Creams Scoop Shops, including your Jeni's Ice Creams Scoop Shops; (9) customer data, including personal information, analytic data, and opt-in/opt-out preferences; and (10) any other information designated as confidential or proprietary by us or our affiliates.
All Confidential Information will be owned by us or our affiliates (other than personally identifiable information relating to the employees, officers, contractors, owners or other personnel of you, your affiliates, or your Jeni's Ice Creams Scoop Shop, and/or such other personally identifiable information designated by us from time to time). You acknowledge and agree that: (1) you will not acquire any interest in any of our Confidential Information, other than the right to use it as we specify under this Agreement or the Franchise Agreements you sign, in each case in accordance with the terms of such agreement; and (2) our Confidential Information is proprietary, includes our trade secrets, and is disclosed to you only on the condition 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 exercise of your Development Rights in accordance with this Agreement, and/or the operation of Jeni's Ice Creams Scoop Shops under the respective Franchise Agreements, and not for any other purpose of any kind;
(b) process, retain, use, collect, and disclose our Confidential Information strictly in accordance with the privacy policies and standards we establish from time to time, and our and our representative's instructions;
(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 exercising your Development Rights in accordance with this Agreement, and/or operating Jeni's Ice Creams Scoop Shops in accordance with Franchise Agreements with us; and you agree that you will be responsible for any violation of this requirement by any person to whom you provide Confidential Information;
- (d) not make unauthorized copies of any of our Confidential Information;
(e) adopt and maintain administrative, physical, and technical safeguards to prevent unauthorized use or disclosure of any of our Confidential Information, including by establishing reasonable security and access measures, restricting its disclosure to key personnel, and/or by requiring persons who have access to such Confidential Information to be bound by contractual obligations to protect such Confidential Information and preserve our rights and controls in such Confidential Information, in each case that are no less protective or beneficial to us than the terms of this Agreement (and we reserve the right to designate or approve the form of confidentiality agreement that you use, provided that it is your responsibility to ensure that such agreement complies with and is enforceable under applicable laws in your jurisdiction); and
- (f) at our request, destroy or return any of the Confidential Information.
Confidential Information does not include information, knowledge, or know-how, which is lawfully known to the public without violation of applicable law or an obligation to us or our affiliates.
Source: Item 23 — RECEIPTS (FDD pages 61–192)
What This Means (2025 FDD)
According to Cream's 2025 Franchise Disclosure Document, franchisees and their personnel must adhere to specific guidelines regarding confidential information. Cream or its affiliates own all confidential information, and franchisees acknowledge they only have the right to use it as specified in the franchise agreement. Unauthorized use or disclosure is considered a breach of trust and can cause irreparable harm to Cream.
Specifically, franchisees must process, retain, use, collect, and disclose confidential information strictly to the extent necessary for the development and operation of their Cream shop, and not for any other purpose. This includes following all privacy policies and system standards established by Cream, as well as any instructions provided by Cream's representatives. Franchisees must keep the information confidential and not disclose it to anyone except employees and representatives who need it to assist in the shop's operation.
Cream franchisees are responsible for any violations of these requirements by individuals they provide confidential information to. They are also prohibited from making unauthorized copies of confidential information. Furthermore, franchisees must implement and maintain administrative, physical, and technical safeguards to prevent unauthorized use or disclosure, including security measures and contractual obligations for those with access. At Cream's request, franchisees must either destroy or return any confidential information.
Confidential information includes items such as site selection criteria, training materials, system standards, recipes, market research, supplier information, software, operating results, customer data, and any other information designated as confidential by Cream. However, information that is already publicly known without violation of any law or obligation is not considered confidential. Cream makes no warranties regarding the confidential information and has no liability for any errors or omissions.