What must a Face Foundrie franchisee do with materials containing proprietary information upon termination?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
At any time upon Franchisor's request, and in any event upon expiration or termination of this Agreement, Franchisee will immediately return any copies of documents where there are materials containing Confidential Information and will take appropriate steps to permanently delete and render unusable any Confidential Information stored electronically.
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, upon termination or expiration of the franchise agreement, a franchisee is obligated to handle materials containing proprietary information in a specific manner. The franchisee must immediately return any copies of documents containing confidential information to Face Foundrie. Additionally, the franchisee is required to permanently delete and render unusable any confidential information that is stored electronically.
This requirement ensures that Face Foundrie's sensitive business data, trade secrets, and operational methods remain protected even after a franchise agreement ends. This is a standard practice in franchising to prevent former franchisees from using proprietary information to compete with the franchisor or other franchisees. The definition of confidential information includes, but is not limited to, equipment, products, supplies, standards, procedures, protocols, and methods of service execution; plans and specifications for the development of Face Foundrié Facial Bars; sales, marketing and advertising programs and techniques; identity of suppliers and knowledge of specifications, processes, procedures, equipment, and pricing; knowledge of operating results and financial performance; methods of inventory control, product handling, training and management; and computer systems and software.
For a prospective Face Foundrie franchisee, this means that meticulous care must be taken to safeguard all confidential information received during the franchise term. Upon termination, the franchisee must be prepared to promptly return physical documents and ensure the complete removal of electronic data. Failure to comply with these requirements could result in legal action from Face Foundrie to protect its proprietary assets. Franchisees should maintain organized records of all confidential information and have systems in place for secure data deletion to facilitate a smooth transition upon termination or expiration of the agreement.