Are Holiday and its affiliates required to comply with the Even Hotels franchisee's requirements concerning confidentiality of information?
Even_Hotels Franchise · 2025 FDDAnswer from 2025 FDD Document
Holiday does not impose restrictions, nor does it require you to impose restrictions, on any of your employees. However, Holiday and you agree to comply with each other's reasonable requirements concerning confidentiality of information, and in particular, you may not disclose without Holiday's written permission information pertaining to Holiday's marketing and reservation programs that has not yet been disclosed to the public.
Source: Item 14 — PATENTS, COPYRIGHTS AND PROPRIETARY INFORMATION (FDD page 85)
What This Means (2025 FDD)
According to Even Hotels' 2025 Franchise Disclosure Document, both Holiday (the franchisor) and the franchisee must comply with each other's reasonable requirements regarding the confidentiality of information. Specifically, franchisees are prohibited from disclosing information pertaining to Holiday's marketing and reservation programs that has not yet been made public without Holiday's written permission.
This obligation ensures that sensitive business information, such as marketing strategies and reservation systems, remains protected. For a prospective Even Hotels franchisee, this means they must maintain the confidentiality of certain information provided by Holiday and, conversely, Holiday must respect the franchisee's confidential information as well.
This mutual agreement on confidentiality is a standard practice in franchising, designed to protect the competitive advantage and proprietary information of both parties. Franchisees should carefully review the specific confidentiality clauses in the License Agreement to fully understand their obligations and rights in this area.