What is the relationship between the Franchisee and the Designated Manager in the operation of a Crepe De Licious franchise?
Crepe_De_Licious Franchise · 2025 FDDAnswer from 2025 FDD Document
"Franchisee" means the Crepe de licious franchisee for which you are a manager or officer.
"Franchisee Territory" means the territory granted to you pursuant to a franchise agreement with us.
"Intellectual Property" means, collectively or individually, our Marks, Copyrights, Know-how, and System.
"Know-how" means all of our trade secrets and other proprietary information relating to the development, construction, marketing, and/or operation of a Crepe de licious business, including, but not limited to, methods, techniques, specifications, proprietary practices and procedures, policies, marketing strategies, and information comprising the System and the Manual.
"Manual" means our confidential operations manual for the operation of a Crepe de licious business, which may be periodically modified by us.
"Marks" means the logotypes, service marks, and trademarks now or hereafter involved in the operation of a Crepe de licious business, including "CREPE DE LICIOUS," and any other trademarks, service marks, or trade names that we designate for use by a Crepe de licious business. The term "Marks" also includes any distinctive trade dress used to identify a Crepe de licious business, whether now in existence or hereafter created.
"Prohibited Activities" means any or all of the following: (i) owning, operating, or having any other interest (as an owner, partner, director, officer, employee, manager, consultant, shareholder, creditor, representative, agent, or in any similar capacity) in a Competitive Business (other than owning an interest of five percent (5%) or less in a publicly-traded company that is a Competitive Business); and/or (ii) diverting or attempting to divert any business from us (or one of our affiliates or franchisees).
"Restricted Period" means the two-year period after you cease to be a manager or officer of Franchisee's Crepe de licious business; provided, however, that if a court of competent jurisdiction determines that this period of time is too long to be enforceable, then the "Restricted Period" means the 12 month period after you cease to be a manager or officer of Franchisee's Crepe de licious business.
Source: Item 22 — CONTRACTS (FDD page 57)
What This Means (2025 FDD)
According to the 2025 Crepe De Licious Franchise Disclosure Document, the 'Franchisee' is defined as the Crepe De Licious franchisee for which the manager or officer works. The manager or officer may gain knowledge of Crepe De Licious's system due to their relationship with the franchisee.
The System Protection Agreement outlines the responsibilities of the manager or officer, emphasizing the protection of Crepe De Licious's intellectual property and system. The agreement states that the manager or officer cannot use the know-how in any business or capacity other than the Crepe De Licious business operated by the franchisee. They must also maintain the confidentiality of the know-how at all times and prevent unauthorized use or disclosure.
Furthermore, the manager or officer must cease using the know-how immediately if they are no longer a manager or officer of the franchisee's Crepe De Licious business. This agreement aims to protect Crepe De Licious's interests by ensuring that those with access to their proprietary information do not use it to compete against them, either during or after their association with the franchisee.