What is Cream's policy on disclosing Confidential Information to former employees?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
). You may gain access to such Personal Information from us, our affiliates, our suppliers, and/or your own operations. You acknowledge and agree that all Personal Information (other than Restricted Data, defined below) is our Confidential Information and is subject to the protections in Section 6.A.
During and after the Term, you (and if you are conducting business as an Entity, each of your owners) agree to, and to cause your respective current and former employees, representatives, affiliates, successors, and assigns to: (1) process, retain, use, collect, and disclose all Personal Information only in strict accordance with all applicable laws, regulations, orders, the guidance and codes of practice issued by industry or regulatory agencies, and the privacy policies and terms and conditions of any applicable Digital Presence; (2) assist us with meeting our compliance obligations under all applicable laws, regulations, and orders relating to Personal Information, including the guidance and codes of practice issued by industry or regulatory agencies; and (3) promptly notify us of any communication or request from any customer or other person to access, correct, delete, opt-out of, or limit activities relating to any Personal Information.
If you become aware of a suspected or actual breach of security or unauthorized access involving Personal Information, you will notify us immediately and specify the extent to which Personal Information was compromised or disclosed. You also agree to follow our instructions regarding curative actions and public statements relating to the breach. We reserve the right to conduct a data security and privacy audit of any of your Shop and your Computer Systems at any time, from time to time, to ensure that you are complying with our requirements.
Notwithstanding anything to the contrary in this Agreement or otherwise, you agree that we do not control or own any of the following Personal Information (collectively, the "Restricted Data"): (i) any Personal Information of the employees, officers, contractors, owners, or other personnel of you, your affiliates, or your Shop; (ii) such other Personal Information as we from time to time expressly designate as Restricted Data; and/or (iii) any other Personal Information to which we do not have access. Regardless of any guidance we may provide generally and/or any specifications that we may establish for other Personal Information, you have sole and exclusive responsibility for all Restricted Data, including establishing protections and safeguards for such Restricted Data; provided, that in each case you agree to comply with all applicable laws, regulations, orders, and the guidance and codes of practice issued by industry or regulatory agencies applicable to such Restricted Data.
L. EMPLOYEES, AGENTS, AND INDEPENDENT CONTRACTORS.
You acknowledge and agree that you are solely responsible for all decisions relating to employees, agents, and independent contractors that you may hire to assist in the operation of your Shop. You agree that any employee, agent, or independent contractor that you hire will be your employee, agent, or independent contractor, and not our employee, agent, or independent contractor.
Source: Item 23 — RECEIPTS (FDD pages 61–192)
What This Means (2025 FDD)
According to Cream's 2025 Franchise Disclosure Document, the franchise agreement includes clauses pertaining to the handling of confidential information by current and former employees. Cream requires franchisees to ensure that their current and former employees, representatives, affiliates, successors, and assigns maintain the confidentiality of the brand's proprietary information both during and after the term of the franchise agreement. This obligation extends to processing, retaining, using, collecting, and disclosing personal information strictly in accordance with applicable laws and Cream's established privacy policies.
Cream mandates that franchisees take appropriate measures to prevent unauthorized use or disclosure of confidential information. These measures include establishing reasonable security protocols, limiting disclosure to essential personnel, and ensuring that individuals with access to confidential information are bound by contractual obligations to protect it. Franchisees are responsible for any violations of these requirements by individuals to whom they provide confidential information.
Upon termination or expiration of the franchise agreement, franchisees must cease using and return or destroy all items, forms, and materials containing any Cream mark or confidential information. This includes the brand manual and any customer data or other information from the franchisee's computer system. These obligations survive the termination or expiration of the franchise agreement, emphasizing the ongoing importance of maintaining confidentiality and protecting Cream's proprietary information.