Under the Crowne Plaza franchise agreement, what are the permissible uses of the disclosing party's Confidential Information by the receiving party?

According to Crowne Plaza's 2025 Franchise Disclosure Document, the recipient of Confidential Information from Crowne Plaza may disclose this information under specific circumstances. These include disclosures to third parties on a need-to-know basis to analyze, provide, support, improve, receive, or use the services related to the franchise. Additionally, the recipient may disclose Confidential Information to its auditors, attorneys (both internal and external), and regulators. Disclosure is also permitted as required or allowed by law, regulation, or court order, as well as to the recipient's affiliates as deemed appropriate.

This means that a Crowne Plaza franchisee has some leeway in sharing Confidential Information, but only for specific, legitimate business and legal purposes. The franchisee must ensure that any third parties receiving this information understand its confidential nature and are obligated to protect it. This is a fairly standard practice in franchising, as it allows franchisees to operate their businesses effectively while still protecting the franchisor's proprietary information.

However, the Crowne Plaza franchisee must exercise caution and judgment when disclosing Confidential Information. They should only share what is absolutely necessary and ensure that recipients are aware of their confidentiality obligations. Failure to properly protect Confidential Information could lead to legal repercussions and damage the relationship with Crowne Plaza. It is also important to note that these permissions are subject to other terms and conditions within the franchise agreement, so franchisees should carefully review the entire document to fully understand their obligations.