To whom can the trainee disclose Dryject trade secrets, and under what limitations?

According to Dryject's 2025 Franchise Disclosure Document, a trainee can disclose Dryject's trade secrets to other employees of the franchisee. However, this disclosure is limited and must be necessary to train or assist these other employees. A key condition is that these employees must have also signed Non-Disclosure, Non-Solicitation and Non-Competition Agreements or a Confidentiality Agreement, as deemed appropriate by Dryject. This ensures that the trade secrets are only shared with individuals who are bound by confidentiality and non-competition obligations.

This policy is designed to protect Dryject's trade secrets while allowing franchisees to train their staff effectively. The requirement for signed agreements from employees who receive the trade secret information adds a layer of legal protection for Dryject. It also places a responsibility on the franchisee to ensure that their employees comply with these agreements.

For a prospective Dryject franchisee, this means carefully managing the dissemination of confidential information within their team. They must ensure that all employees who have access to Dryject's trade secrets have signed the necessary agreements. Failure to do so could expose the franchisee to legal repercussions if a breach of confidentiality occurs. This also highlights the importance of maintaining accurate records of these agreements and ensuring they are up-to-date.

This type of restriction is common in franchising, particularly when the franchise system relies on proprietary information and unique methods. By controlling who has access to its trade secrets, Dryject aims to maintain its competitive advantage and protect the value of its brand. Franchisees should be prepared to implement and enforce these confidentiality measures to safeguard both their own business and the integrity of the Dryject system.