In the event of a legal proceeding requiring disclosure of Deer Solution Confidential Information, what opportunity must be afforded to the franchisor?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
- (q) Franchisee fails, upon receiving actual or constructive notice, shall: (1) immediately notify Franchisor of any known breach of the Confidentiality Agreement by any person or entity; (2) immediately notify Franchisor of facts and information that would cause a reasonable person to believe that a person or entity violated the Confidentiality Agreement and/or is in the process of violating the Confidentiality Agreement; and (3) take reasonable steps including ,notice to Franchisor and Franchisee's consultation with Franchisee's legal counsel, to prevent any person or entity from violating the terms of the Confidentiality Agreement and/or otherwise publicly disseminating Confidential Information;
Source: Item 23 — RECEIPTS (FDD pages 55–246)
What This Means (2025 FDD)
Based on the 2025 Deer Solution Franchise Disclosure Document, if a franchisee receives actual or constructive notice of a breach of the Confidentiality Agreement, they must immediately notify Deer Solution. The franchisee must also inform Deer Solution of any facts that would lead a reasonable person to believe the Confidentiality Agreement has been or is being violated.
Furthermore, the franchisee is required to take reasonable steps to prevent any person or entity from violating the terms of the Confidentiality Agreement or publicly disseminating Confidential Information. These steps include notifying Deer Solution and consulting with the franchisee's legal counsel.
This means a Deer Solution franchisee has a responsibility to protect the franchisor's confidential information. Failure to do so could result in a breach of the franchise agreement.