factual

Does the confidentiality provision in the Addendum to the Dickeys Barbecue Pit Franchise Agreement survive the termination of the Franchise Agreement?

Dickeys_Barbecue_Pit Franchise · 2024 FDD

Answer from 2024 FDD Document

  • N. The terms and conditions of this Addendum shall be confidential. Except as provided above or required by law or court order or the enforcement of the provisions hereof, the parties shall maintain in strict confidence and shall not disclose the existence of or any substance or contents of this Addendum to any third party without prior written consent of the other party or parties herein. This confidentiality provision shall survive the termination of the Franchise Agreement and/or this Addendum and is in addition to any other confidentiality obligations or similar restrictions on Franchisee in the Franchise Agreement or other agreement between Dickey's and Franchisee.

Source: Item 22 — CONTRACTS (FDD pages 95–96)

What This Means (2024 FDD)

According to Dickeys Barbecue Pit's 2024 Franchise Disclosure Document, the confidentiality provision outlined in the Addendum to the Franchise Agreement does indeed survive the termination of the Franchise Agreement. This means that even after the franchise relationship ends, the franchisee is still legally obligated to maintain the confidentiality of the terms and conditions outlined in the Addendum. This obligation extends to not disclosing the existence, substance, or contents of the Addendum to any third party without prior written consent from Dickeys Barbecue Pit, unless required by law or court order, or for the enforcement of the provisions of the Addendum itself.

This survival clause is in addition to any other confidentiality obligations or similar restrictions already in place within the Franchise Agreement or any other agreements between Dickeys Barbecue Pit and the franchisee. This highlights the importance Dickeys Barbecue Pit places on protecting its confidential information and trade secrets, ensuring that franchisees do not share sensitive business details with competitors or use them to the detriment of the Dickeys Barbecue Pit system after the franchise relationship concludes.

For a prospective Dickeys Barbecue Pit franchisee, this means understanding that the duty of confidentiality extends beyond the active term of the franchise. It is crucial to carefully review the scope of confidential information as defined in the Franchise Agreement and Addendum to fully grasp the extent of these ongoing obligations. Failure to comply with these confidentiality provisions post-termination could result in legal action from Dickeys Barbecue Pit.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.