What is the definition of 'Confidential Information' according to the Fitstop FDD?
Fitstop Franchise · 2024 FDDAnswer from 2024 FDD Document
Section 7: Confidential Information and Non-Disclosure
- 7.1 We have expended and continue to expend significant time and resources developing in connection with the Franchise System certain brand standards, confidential information, and know-how relating to the administration and operation of a franchised businesses including all systems, processes, procedures, software, databases, logos, manuals, advertising information and promotional materials ("Confidential Information").
Such Confidential Information includes, but is not limited to, (i) our Manual(s), forms, the information contained and compiled therein, and the updates and memoranda thereto; (ii) training information and methodology; (iii) advertising plans and methodology; (iv) names of contractual arrangements with agents, suppliers, and customers, and their requirements, specifications, and preferences; (v) the contractual arrangements with agents, suppliers, and customers; (vi) the financial details (including but not limited to credit and discount terms) of relationships with our agents, suppliers, or customers; (vii) the names of prospective customers and their requirements, specifications, and preferences; (ix) the software; (x) information concerning and presented at our seminars, conferences, or conventions; (xi) security access information; (xii) information provided through initial and supplementary training; and (xiii) our business plans and strategies, names of agents, suppliers, and customers and their requirements, specifications, and preferences.
- 7.2 You acknowledge that we own all proprietary rights in and to the Confidential Information, in its entirety, and that the Confidential Information constitutes our confidential trade secrets.
Without our prior written consent, you shall not disclose the Confidential Information to any person, except employees of the Franchise for purposes related solely to the operation of the Franchise, nor shall you reprint or reproduce any Confidential Information we may provide to you, in whole or in part, for any purpose except in connection with instruction of employees in the operation of the Franchise.
You acknowledge that any Confidential Information we provide to you or your employees will at all times be and remain our property.
Source: Item 23 — RECEIPTS (FDD pages 50–135)
What This Means (2024 FDD)
According to Fitstop's 2024 Franchise Disclosure Document, Confidential Information encompasses brand standards, confidential information, and know-how related to the administration and operation of franchised businesses. This includes systems, processes, procedures, software, databases, logos, manuals, advertising information, and promotional materials.
Specifically, the Confidential Information includes Fitstop's manuals and forms, along with any updates or memoranda. It also covers training information and methodologies, advertising plans, contractual arrangements with agents, suppliers, and customers, including their requirements and preferences. Financial details, such as credit and discount terms in relationships with agents, suppliers, or customers, are also considered confidential. Furthermore, the definition extends to names of prospective customers, software, information presented at seminars or conventions, security access information, initial and supplementary training materials, and business plans and strategies.
As a Fitstop franchisee, you are obligated to protect this information and limit its disclosure to only those employees who need it to operate the franchise. You also acknowledge that Fitstop owns all proprietary rights to this information and that it constitutes trade secrets. Unauthorized disclosure or reproduction of this information is prohibited without prior written consent from Fitstop.