What level of employees must Deck Medic franchisees restrict access to the Manuals to?
Deck_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
he location of the services and products to be provided on behalf of such customer are located outside Franchisee's Operating Territory and in an Open Area.
"Out of Territory Rules" shall have the meaning defined and set forth in Article 3.I. of this Agreement.
"Owner" refers to and means collectively, individually and jointly: (a) the officers and directors of Franchisee (including the officers and directors of any general partner of Franchisee) who hold an ownership interest in Franchisee; (b) the managing member or manager of Franchisee, if franchisee is a limited
Source: Item 14 — PATENTS, COPYRIGHTS AND PROPRIETARY INFORMATION (FDD page 33)
What This Means (2024 FDD)
According to Deck Medic's 2024 Franchise Disclosure Document, franchisees must ensure that certain individuals, referred to as "Owners," comply with restrictive covenants, including those related to the Operations Manual. The term "Owner" includes officers and directors of the franchisee holding an ownership interest, managing members or managers of the franchisee if it's a limited liability company, holders of 5% or more direct or indirect ownership in the franchisee, and the Managing Owners.
This means Deck Medic franchisees must take steps to prevent unauthorized use or disclosure of the Know-How, which includes the Operations Manual, by these specified individuals. This obligation extends both during the term of the Franchise Agreement and after its expiration or termination. Franchisees must also prevent these individuals from making unauthorized copies of documents containing any Know-How and stop them from using the Know-How immediately upon the expiration, termination, or transfer of the Franchise Agreement.
For a prospective Deck Medic franchisee, this highlights the importance of maintaining strict confidentiality and control over the Operations Manual and other confidential information. It also emphasizes the need to ensure that all individuals meeting the definition of "Owner" are aware of and comply with these restrictive covenants. This is a common practice in franchising to protect the franchisor's proprietary information and maintain the integrity of the franchise system.