Is a franchisee allowed to copy Eos Worldwide's Confidential Information?
Eos_Worldwide Franchise · 2025 FDDAnswer from 2025 FDD Document
You may never – during the initial term, any renewal term, or after the Franchise Agreement expires or is terminated – reveal any of our Confidential Information or any other materials, goods and information created or used by us and designated for confidential use within the EOS Franchise System to another person or use it for any purpose other than to operate your Franchised Business. You may not copy any of our Confidential Information or give it to a third party except as we authorize in writing. You must limit access of your employees and any others who help support your Franchised Business to Confidential Information used in connection with the EOS Franchise System on a need to know basis. We may, periodically and in our sole discretion, amend the contents of the Operations Manual and your
confidentiality obligations will extend to these amendments. You may only share access to Confidential Information with your employees or other persons affiliated with your Franchised Business on a strict need to know basis. We may however require that such other persons and employees affiliated with your Franchised Business sign our then-standard form confidentiality agreement; however, you are ultimately responsible for ensuring confidentiality of Confidential Information that you share with any such employees or other third person, directly or by providing access to any EOS Worldwide system.
Source: Item 14 — PATENTS, COPYRIGHTS AND PROPRIETARY INFORMATION (FDD pages 51–52)
What This Means (2025 FDD)
According to the 2025 Eos Worldwide Franchise Disclosure Document, franchisees are generally prohibited from copying the franchisor's Confidential Information. The FDD explicitly states that franchisees "may not copy any of our Confidential Information or give it to a third party except as we authorize in writing." This restriction applies during the initial term, any renewal term, and even after the Franchise Agreement expires or is terminated.
Eos Worldwide defines Confidential Information broadly, including the Operations Manual, training content, client lists, pricing strategies, and other business-related information. Franchisees must take reasonable steps to prevent the disclosure of this information to others and limit access to employees on a need-to-know basis. Eos Worldwide retains the right to amend the contents of the Operations Manual, and the franchisee's confidentiality obligations extend to these amendments.
This is a standard practice in franchising, as franchisors need to protect their proprietary systems and methods. The FDD also states that all ideas, concepts, techniques, and other newly developed information or materials relating to the Franchised Business, whether created by or on behalf of the franchisee, must be promptly disclosed to Eos Worldwide and will be considered their property. Franchisees must sign documents to evidence Eos Worldwide's ownership or to assist them in securing intellectual property rights in these ideas, concepts, techniques, or materials. Eos Worldwide may determine whether the franchisee will receive any form of compensation or consideration in exchange for the information or materials which the franchisee develops.