Does the definition of 'Information' for Exit include training materials?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
- h) Information and Confidential Information. As used in this Agreement, the term "Information" means all information used or compiled by Sales Representative and any other information written or oral made known to Sales Representative by or on behalf of EXIT [Trade Name] or any customer of EXIT [Trade Name], including without limitation, all of the EXIT [Trade Name]'s financial information, employee lists and data, records and files, customer and prospective contact lists, requests for quotes, quotes, contracts of any nature, corporate procedures, sales plans, programs, materials, manuals, rosters, forms, brochures and other training, listing, sales and marketing materials of EXIT [Trade Name] and any information.
All Information shall be considered "Confidential Information," except Information which (i) was or becomes publicly known without disclosure by Sales Representative, or (ii) was or is acquired from a third party provided that the third party in providing the Information has not breached any agreement with, or acted in derogation of, any confidential relationship with EXIT [Trade Name] or EXIT.
Source: Item 23 — RECEIPT (FDD pages 42–235)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, the term "Information" includes training materials. Specifically, the FDD defines "Information" as all information used or compiled by Sales Representatives, including any written or oral information made known to them by or on behalf of Exit or any Exit customer. This definition explicitly includes Exit's financial information, employee data, records, customer lists, quotes, contracts, corporate procedures, sales plans, programs, materials, manuals, rosters, forms, brochures, and other training, listing, sales, and marketing materials.
This broad definition means that Exit franchisees and their sales representatives must treat all of these items as confidential. Franchisees are responsible for ensuring that their employees, officers, directors, members, and partners also maintain the confidentiality of this information, including requiring them to sign confidentiality statements. This obligation extends to protecting the EXIT System and preventing unauthorized disclosure of confidential information.
This requirement is typical in franchising, as franchisors need to protect their proprietary systems and methods. For a prospective Exit franchisee, this means understanding and adhering to strict confidentiality protocols to safeguard Exit's training materials and other sensitive information. Failure to comply with these requirements could result in a breach of the franchise agreement.