What are the Deer Solution franchisee's obligations regarding Confidential Information at all times?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 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 Deer Solution 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 55–246)
What This Means (2025 FDD)
According to Deer Solution's 2025 Franchise Disclosure Document, franchisees have specific obligations regarding confidential information, both during the term of the Franchise Agreement and after its expiration or termination. These obligations are designed to protect Deer Solution's proprietary information and maintain the integrity of the Deer Solution system.
The franchisee must not use the confidential information in any business or capacity other than the Deer Solution Business they operate. They are required to maintain the confidentiality of the information at all times and prevent unauthorized use or disclosure. This includes not making unauthorized copies of documents containing confidential information and taking reasonable steps requested by Deer Solution to prevent unauthorized use or disclosure. Upon expiration, termination, or transfer of the Franchise Agreement, the franchisee must immediately stop using the confidential information.
These obligations extend not only to the franchisee but also to their owners, spouses, directors, officers, employees, and agents. Owners and spouses must execute a Franchise Owner and Spouse Agreement and Guaranty, while directors, officers, employees, and agents who have access to confidential information must sign a Confidentiality Agreement. This ensures that all individuals associated with the franchise are bound by the confidentiality requirements.
Furthermore, the FDD defines "Confidential Information" broadly to include trade secrets, methods, standards, techniques, procedures, data, and information related to the Deer Solution business. This encompasses methods, specifications, standards, policies, procedures, information, concepts, programs, and systems related to the development, establishment, marketing, promotion, and operation of Deer Solution Businesses, customer information, customer lists, email lists, database lists, product sales, operating results, financial performance and other financial data of Deer Solution Businesses, Business Management System Data, information contained in the Operations Manual, and Know-How.