Under what conditions can an Even Hotels franchisee disclose Confidential Information to its employees, contractors, and professional advisors?
Even_Hotels Franchise · 2025 FDDAnswer from 2025 FDD Document
Hotel shall not disclose any such Confidential Information to any third party without the prior written consent of IHG and HotelKey and shall only access and use the Confidential Information as required to and for the limited purpose of performing its obligations under this Agreement; provided that Hotel may disclose Confidential Information to its employees, contractors and professional advisors who need to know such information in order to perform their obligations related to this Agreement and who are contractually bound by confidentiality obligations that are at least as protective as those in this Agreement.
Source: Item 23 — RECEIPTS (FDD pages 99–438)
What This Means (2025 FDD)
According to Even Hotels' 2025 Franchise Disclosure Document, an Even Hotels franchisee can disclose Confidential Information to its employees, contractors, and professional advisors under specific conditions. The franchisee can only disclose Confidential Information to these parties if they need to know the information to perform their obligations related to the franchise agreement.
Furthermore, these employees, contractors, and professional advisors must be contractually bound by confidentiality obligations. These obligations must be at least as protective as those outlined in the franchise agreement itself. This ensures that the individuals receiving the Confidential Information are legally obligated to maintain its secrecy and prevent unauthorized disclosure.
This provision aims to balance the franchisee's need to utilize Confidential Information for business operations with the franchisor's interest in protecting its proprietary information. By requiring contractual confidentiality agreements, Even Hotels seeks to minimize the risk of information leaks while allowing the franchisee to effectively manage their business.