What actions are Deck Medic franchisees required to take to prevent violations of the Confidentiality Agreement?
Deck_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
Franchisee agrees that, at all times, both during the Term of this Agreement and after its expiration or termination, Franchisee: (a) shall not use the Confidential Information in any business or capacity other than the Deck Medic Business operated by Franchisee; (b) shall maintain the confidentiality of the Confidential Information at all times; (c) shall not make unauthorized copies of documents containing any Confidential Information; (d) shall take such reasonable steps as Franchisor may ask of Franchisee from time to time to prevent unauthorized use or disclosure of the Confidential Information; and (e) shall stop using the Confidential Information immediately upon the expiration, termination or Transfer of this Agreement. Franchisee agrees that the foregoing covenants and obligations shall also apply to: (a) Franchisee's Owners and Spouses and that Franchisee's Owners and Spouses shall each execute and deliver to Franchisor the Franchise Owner and Spouse Agreement and Guaranty in the form attached to this Agreement as Exhibit 1; and (b) Franchisee's directors, officers, employees and agents where disclosure of the Confidential Information was necessary for the operations of the Franchised Business and where such director, officer, employee and/or agent previously executed and timely delivered to Franchisor the Confidentiality Agreement in the form attached as Exhibit 2.
Source: Item 23 — RECEIPTS (FDD pages 43–228)
What This Means (2024 FDD)
According to Deck Medic's 2024 Franchise Disclosure Document, franchisees have several obligations to maintain the confidentiality of sensitive information, both during and after the franchise term. Franchisees must not use confidential information in any business other than their Deck Medic franchise. They are required to maintain the confidentiality of this information at all times and avoid making unauthorized copies of any documents containing confidential details.
Deck Medic franchisees must take reasonable steps that Deck Medic may require to prevent unauthorized use or disclosure of confidential information. Upon expiration, termination, or transfer of the Franchise Agreement, franchisees must immediately cease using the confidential information. These obligations extend not only to the franchisee but also to their owners, spouses, directors, officers, employees, and agents, particularly where the disclosure of know-how or confidential information was necessary for business operations.
To ensure compliance, Deck Medic requires that owners and spouses execute a Franchise Owner and Spouse Agreement and Guaranty. Additionally, any director, officer, employee, or agent who has access to confidential information must have previously signed and delivered a Confidentiality Agreement to Deck Medic. Franchisees should consult with a local attorney to ensure their Confidentiality Agreement is properly reviewed and approved before use with an employee or contractor.