What is the stated purpose for a Prospective Franchisee to have access to Del Taco's Proprietary Information?
Del_Taco Franchise · 2025 FDDAnswer from 2025 FDD Document
WHEREAS, Del Taco is the owner of certain proprietary and confidential information, which may include but is not limited to financial data, operating procedures, marketing information, business strategies (hereinafter referred to as "Proprietary Information");
WHEREAS, Prospective Franchisee is interested in having access to such Proprietary Information for the purpose of determining whether it is interested in entering into a franchising relationship;
Source: Item 23 — RECEIPTS (FDD pages 59–325)
What This Means (2025 FDD)
According to Del Taco's 2025 Franchise Disclosure Document, a prospective franchisee is given access to Del Taco's proprietary information to evaluate the franchise opportunity. Specifically, the prospective franchisee is considering whether to enter into a franchise relationship with Del Taco. This access is granted under the condition that the franchisee keeps the information confidential.
This proprietary information includes, but is not limited to, financial data, operating procedures, marketing information, and business strategies. The prospective franchisee can only disclose the proprietary information to employees, agents, and consultants who need to know it for the aforementioned purpose. These individuals must also be informed of the confidential nature of the information and obligated to maintain its confidentiality.
The prospective franchisee cannot disclose the information to any third party without Del Taco's prior written consent and cannot use the information for any purpose other than evaluating the franchise opportunity. Del Taco retains the right to repossess any tangible proprietary information, which must be segregated and identified as Del Taco's property. Overall, this arrangement allows potential franchisees to make an informed decision while protecting Del Taco's confidential business assets.