What are the confidentiality obligations for Dq Treat managers with access to confidential information?
Dq_Treat Franchise · 2025 FDDAnswer from 2025 FDD Document
You must ensure that any designated or assistant managers with access to confidential information (as defined in the franchise agreement) abide by the confidentiality obligations in the franchise agreement.
- (3) not make unauthorized copies of any Confidential Information disclosed in written form nor input or use any Confidential Information in any open source artificial intelligence program;
- (4) adopt and implement all reasonable procedures Company directs to prevent unauthorized use or disclosure of the Confidential Information, including restrictions on disclosure to Restaurant employees;
- (5) not reverse engineer, decompile or disassemble any of Company's proprietary products, formulas, ingredients, or software; and
- (6) ensure that all Owners, the Designated Manager, the Assistant Managers and any other employees with access to Confidential Information abide by the confidentiality obligations in this agreement.
Confidential Information does not include information, processes or techniques that are generally known to the public, other than through disclosure (whether deliberate or inadvertent) by Licensee or other individuals under an obligation to keep the information confidential.
Confidential Information excludes information that: (i) is or becomes generally known to the public without breach of any obligation owed to Discloser, (ii) was known to the Recipient prior to its disclosure by the Discloser without breach of any obligation owed to the Discloser, (iii) is received from a third party without breach of any obligation owed to Discloser, or (iv) was independently developed by the Recipient without use or access to the Confidential Information.
The Recipient may disclose Confidential Information to the extent required by law or court order but will provide Discloser with advance notice to seek a protective order. Recipient will only disclose the limited information required to be disclosed by law or the court order.
Source: Item 15 — UItem 15U***:** U**Obligation to Participate in the Actual Operation of the Franchise Business (FDD page 51)
What This Means (2025 FDD)
According to the 2025 Dq Treat FDD, designated and assistant managers with access to confidential information must abide by the confidentiality obligations outlined in the franchise agreement. These obligations include several key restrictions to protect Dq Treat's proprietary information. Managers cannot make unauthorized copies of confidential information disclosed in written form, nor can they input or use any confidential information in any open-source artificial intelligence program. They must also implement reasonable procedures to prevent unauthorized use or disclosure of confidential information, including restricting disclosure to other restaurant employees.
Furthermore, managers are prohibited from reverse engineering, decompiling, or disassembling any of Dq Treat's proprietary products, formulas, ingredients, or software. The franchisee must ensure that all owners, the designated manager, the assistant managers, and any other employees with access to confidential information comply with the confidentiality obligations specified in the agreement.
The FDD also specifies some exclusions to what is considered confidential information. Information that is already publicly known, was known to the recipient prior to disclosure, is received from a third party without breach of obligation, or was independently developed by the recipient is not considered confidential. If disclosure is required by law or court order, the recipient must provide advance notice to Dq Treat to seek a protective order and will only disclose the limited information required.