What is a Face Foundrie franchisee prohibited from using after termination regarding confidential information?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
(f) refrain from making use of or availing itself to any of the Confidential Information, Operations Manual, any confidential methods, procedures, and techniques associated with the System, and other information received from Franchisor or disclosing or revealing any of the same in violation of Section 7 hereof;
(h) discontinue all use of the Email Addresses, and any and all online and social media listings and accounts;
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, franchisees are prohibited from using confidential information after the termination of the franchise agreement. This restriction extends for five years following termination, but if the confidential information qualifies as a trade secret under applicable law, the restriction remains in effect as long as it remains a trade secret.
Confidential information includes any data related to the Face Foundrie system or the development and operation of its facial bars that the franchisor discloses, which is designated as confidential or would reasonably be expected to be held in confidence. This covers a wide range of information, such as equipment, products, supplies, service methods, plans for facial bar development, marketing programs, supplier identities, operating results, inventory control methods, computer systems, and any other information labeled as proprietary or confidential. The Operations Manual is presumed to contain confidential information.
Upon termination of the agreement, franchisees must return all materials containing confidential information and permanently delete any electronically stored confidential information. They must also refrain from using any confidential methods, procedures, and techniques associated with the Face Foundrie system. This ensures that the franchisee cannot leverage Face Foundrie's proprietary information to operate a competing business or otherwise gain an unfair advantage after the franchise agreement ends. Franchisees must also discontinue using email addresses and any online or social media listings and accounts.