Does the Del Taco Non-Disclosure and Non-Competition Agreement mention anything about soft drinks?
Del_Taco Franchise · 2025 FDDAnswer from 2025 FDD Document
- A. Del Taco, as the result of the expenditure of significant time, skill, effort and money, has developed a distinctive and proprietary system (the "Del Taco System" or "System") for establishing and operating restaurant businesses, which specialize in the sale of Mexican-American foods such as tacos and burritos, along with burgers, shakes and desserts, French fries, breakfast items, soft drinks, and such additional or alternate menu and other items as Del Taco may designate from time to time for on-premises and off-premises consumption ("Menu Items");
Source: Item 23 — RECEIPTS (FDD pages 59–325)
What This Means (2025 FDD)
According to the 2025 Del Taco Franchise Disclosure Document, the Non-Disclosure Agreement mentions soft drinks as part of the restaurant's offerings. Specifically, the document states that Del Taco has developed a proprietary system for restaurant businesses that specialize in Mexican-American foods, along with items such as soft drinks. This inclusion indicates that the sale of soft drinks is an integral part of the Del Taco franchise model and is considered part of the Del Taco System.
For a prospective franchisee, this means that the recipes, preparation methods, and possibly even the suppliers of soft drinks are considered confidential and proprietary information. The franchisee is obligated to maintain the confidentiality of this information and not disclose it to unauthorized parties. This obligation extends to employees and agents who must also be informed of the confidential nature of the information.
Furthermore, the franchisee is restricted from using the Del Taco System, which includes the soft drinks, in connection with any other restaurant. This prevents franchisees from leveraging Del Taco's proprietary knowledge and systems to benefit competing businesses. The agreement emphasizes that unauthorized use or disclosure of confidential information and trade secrets could cause significant harm to Del Taco, reinforcing the importance of adhering to the non-disclosure terms.