Besides the franchisee, who else associated with the Engel & Volkers franchise must execute a Confidentiality Agreement and Covenant Not to Compete?

According to Engel & Volkers' 2025 Franchise Disclosure Document, the franchisee is not the only party required to sign a Confidentiality Agreement and Covenant Not to Compete. Engel & Volkers requires the franchisee to impose the confidentiality undertaking on its shareholders, partners, members, officers, directors, managers, staff members, and Sales Advisors. This is achieved by having these individuals execute Engel & Volkers' standard form of the Confidentiality Agreement and Covenant Not to Compete.

This requirement ensures that a broad range of individuals associated with the Engel & Volkers franchise are legally bound to protect the franchisor's confidential information and adhere to the non-compete terms. By extending these obligations beyond just the franchisee, Engel & Volkers aims to safeguard its business operations, proprietary information, and market position from potential misuse or competition.

For a prospective Engel & Volkers franchisee, this means they will need to manage the process of getting all relevant parties to sign the agreement. Failure to ensure these individuals sign the agreement could expose the franchisee to potential breaches of contract and associated penalties. It is a common practice in franchising to have employees and others with access to confidential information sign such agreements to protect the brand and system.