Besides the Franchisee, who else can a recipient disclose Dog Haus Confidential Information to?
Dog_Haus Franchise · 2025 FDDAnswer from 2025 FDD Document
Candidate will fully and strictly maintain the confidentiality of the Confidential Information, will exercise the highest degree of diligence in safeguarding the Confidential Information and will not disclose or reveal the Confidential Information to any person other than another person who is actively and directly participating in the acquisition of the franchise with Candidate, but only after first disclosing the identity of such person to Franchisor in writing and obtaining such person's signature on a Non-Disclosure Agreement similar to this Agreement, unless covered by attorney-client privilege.
Source: Item 23 — RECEIPTS (FDD pages 87–328)
What This Means (2025 FDD)
According to Dog Haus's 2025 Franchise Disclosure Document, a candidate, who is actively and directly participating in the acquisition of the franchise with the franchisee, can receive confidential information. However, this is only permissible after disclosing the identity of such person to Dog Haus in writing and obtaining that person's signature on a Non-Disclosure Agreement. This agreement must be similar to the one the candidate signs, unless the disclosure is covered by attorney-client privilege.
This stipulation ensures that even those involved in the franchise acquisition process are bound by confidentiality, protecting Dog Haus's proprietary information. The requirement of a Non-Disclosure Agreement and prior written notice to Dog Haus adds an extra layer of security, allowing Dog Haus to track who has access to their confidential information.
It is important to note the specific conditions under which disclosure is allowed. The person must be actively involved in the franchise acquisition, and Dog Haus must be informed beforehand. This prevents casual or unauthorized sharing of sensitive business information. The exception for attorney-client privilege acknowledges legal requirements while maintaining overall confidentiality.
For a prospective Dog Haus franchisee, this means they must be diligent in managing who gains access to confidential information during the acquisition phase. They need to ensure that anyone assisting them signs the appropriate agreements and that Dog Haus is properly notified. Failing to do so could result in a breach of the confidentiality agreement and potential legal repercussions.