What must a Crepe De Licious franchisee provide regarding data and cybersecurity?
Crepe_De_Licious Franchise · 2025 FDDAnswer from 2025 FDD Document
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"Restricted Territory" means the geographic area within: (i) a 25-mile radius from Franchisee's Crepe de licious business (and including the premises of the approved location of Franchisee); and (ii) a 25 mile radius from all other Crepe de licious businesses that are operating or under construction as of the beginning of the Restricted Period; provided, however, that if a court of competent jurisdiction determines that the foregoing Restricted Territory is too broad to be enforceable, then the "Restricted Territory" means the geographic area within a 12-mile radius from Franchisee's Crepe de licious business (and including the premises of the approved location of Franchisee).
"System" means our system for the establishment, development, operation, and management of a Crepe de licious business, including Know-how, proprietary programs and products, Manual, and operating system.
- 2. Background. You are a manager or officer of Franchisee. As a result of this relationship, you may gain knowledge of our System. You understand that protecting the Intellectual Property and our System are vital to our success and that of our franchisees and that you could seriously jeopardize our entire System if you were to unfairly compete with us. In order to avoid such damage, you agree to comply with the terms of this Agreement.
- 3. Know-How and Intellectual Property. You agree: (i) you will not use the Know-how in any business or capacity other than the Crepe de licious business operated by Franchisee; (ii) you will maintain the confidentiality of the Know-how at all times; (iii) you will not make unauthorized copies of documents containing any Know-how; (iv) you will take such reasonable steps as we may ask of you from time to time to prevent unauthorized use or disclosure of the Know-how; and (v) you will stop using the Know-how immediately if you are no longer a manager or officer of Franchisee's Crepe de licious business. You further agree that you will not use all or part of the Intellectual Property or all or part of the System for any purpose other than the performance of your duties for Franchisee and within the scope of your employment or other engagement with Franchisee. These restrictions on Know-how, Intellectual Property and the System shall not apply to any information which is information publicly known or becomes lawfully known in the public domain other than through a breach of this Agreement or is required or compelled by law to be disclosed, provided that you will give reasonable notice to us to allow us to seek protective or other court orders.
- 4. Unfair Competition During Relationship. You agree not to unfairly compete with us at any time while you are a manager or officer of Franchisee's Crepe de licious business by engaging in any Prohibited Activities.
- 5. Unfair Competition After Relationship. You agree not to unfairly compete with us during the Restricted Period by engaging in any Prohibited Activities; provided, however, that the Prohibited Activity relating to having an interest in a Competitive Business will only apply with respect to a Competitive Business that is located within or provides competitive goods or services to customers who are located within the Restricted Territory.
Source: Item 22 — CONTRACTS (FDD page 57)
What This Means (2025 FDD)
Based on the 2025 Crepe De Licious Franchise Disclosure Document, franchisees and their staff must protect the brand's intellectual property, which includes trade secrets and proprietary information related to the Crepe De Licious business. This obligation extends to managers, officers, employees, independent contractors, agents, representatives, and suppliers of the franchisee. These individuals must not use the intellectual property in any way that doesn't benefit the Crepe De Licious business or that harms the franchisor or franchisee. They are also required to keep the intellectual property confidential at all times.
To maintain confidentiality, franchisees and their personnel must avoid making unauthorized copies of documents containing intellectual property. They must also take reasonable steps to prevent unauthorized use or disclosure of this information, as requested by Crepe De Licious. Upon termination of employment or engagement with the franchisee, all documents and data pertaining to the intellectual property must be returned, with no copies retained. These measures collectively aim to safeguard the Crepe De Licious system and brand integrity.
Additionally, the agreement includes clauses to prevent unfair competition, both during and after the individual's association with the Crepe De Licious franchise. Immediate family members are also implicated, with presumptions of violations if they engage in prohibited activities or use disclosed know-how, unless the franchisee can prove they did not disclose the information. These stipulations highlight the importance Crepe De Licious places on protecting its system and intellectual property from misuse or unauthorized disclosure.