What is the alternative to signing a Confidentiality Agreement for employees of a Crepe De Licious franchise?
Crepe_De_Licious Franchise · 2025 FDDAnswer from 2025 FDD Document
Any Designated Manager and, if you are an entity, any officer that does not own equity in the franchisee entity must sign the System Protection Agreement, the form of which is attached to this Franchise Disclosure Document in Exhibit G. All of your employees, independent contractors, agents, or representatives that may have access to our Confidential Information must sign a Confidentiality Agreement (unless they already signed a System Protection Agreement), the current form of which is attached to this Franchise Disclosure Document in Exhibit G.
Source: Item 15 — OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS (FDD pages 46–47)
What This Means (2025 FDD)
According to the 2025 Crepe De Licious Franchise Disclosure Document, instead of signing a Confidentiality Agreement, certain individuals associated with a Crepe De Licious franchise may be required to sign a System Protection Agreement. Specifically, any Designated Manager and, if the franchisee is an entity, any officer that does not own equity in the franchisee entity must sign the System Protection Agreement. The System Protection Agreement and the Confidentiality Agreement forms are included in Exhibit G of the Franchise Disclosure Document.
This means that if a Crepe De Licious franchisee appoints a Designated Manager to oversee daily operations, that manager must sign a System Protection Agreement. Similarly, if the franchisee is a business entity, any officer without ownership stake must also sign this agreement. This System Protection Agreement serves as an alternative to the standard Confidentiality Agreement for these specific roles, ensuring that individuals in key positions are bound to protect the franchisor's confidential information.
It is important for prospective Crepe De Licious franchisees to review Exhibit G of the FDD to understand the full scope and terms of both the Confidentiality Agreement and the System Protection Agreement. Franchisees should also consult with legal counsel to ensure they understand their obligations and the implications of these agreements for their employees and business structure.