Is Fitstop's computer software and its coding considered part of its proprietary trade secret rights?
Fitstop Franchise · 2024 FDDAnswer from 2024 FDD Document
We claim proprietary trade secret rights in information like lists and files, and other compilations of information pertaining to the Franchise System, which information includes (a) our manuals and forms, the information contained and compiled in the manuals and forms, and the updates and memoranda relating to the manuals and forms; (b) names of our agents, suppliers, and customers, and their requirements, specifications, and preferences; (c) the contractual arrangements between us and our agents, suppliers, and customers; (d) the financial details (including but not limited to credit and discount terms) of our relationship with our agents, suppliers, or customers; (e) the names of prospective customers and their requirements, specifications, and preferences; (f) information concerning the remuneration paid by us to our employees; (g) our computer software and any part of its coding; (h) information concerning and presented at our meetings; (i) security and access information; (j) information provided through initial and ongoing specialized training; (k) our business plans and strategies; and (l) similar information.
Source: Item 23 — RECEIPTS (FDD pages 50–135)
What This Means (2024 FDD)
According to Fitstop's 2024 Franchise Disclosure Document, the brand asserts proprietary trade secret rights over a range of information pertaining to the franchise system. This includes, but is not limited to, lists and files, as well as other compilations of information.
Specifically, Fitstop's claim extends to manuals and forms, the information contained within them, and any updates or memoranda related to these documents. It also encompasses details about agents, suppliers, customers, and their specific requirements, specifications, and preferences. The contractual and financial arrangements Fitstop has with these parties, including credit and discount terms, are also considered proprietary trade secrets.
Critically, Fitstop explicitly includes its "computer software and any part of its coding" within the scope of its proprietary trade secret rights. This means that franchisees are obligated to protect the confidentiality of this software and its underlying code. Other information falling under this protection includes remuneration details for Fitstop's employees, information presented at meetings, security and access information, details from initial and ongoing training, and the company's business plans and strategies.