Are the policies and processes used in connection with a Fitstop franchise considered copyright material?

According to Fitstop's 2024 Franchise Disclosure Document, the policies and processes used in connection with a Fitstop franchise are considered copyright material. The FDD specifies that copyright extends to operations manuals, training manuals, program manuals, advertising and promotional materials, and other documents, forms, manuals, policies, processes, prescribed standards of conduct, software, and materials used in connection with the Fitstop franchise. This also includes the contents of the Franchise Agreement itself. Therefore, franchisees must adhere to the guidelines and restrictions placed on these copyrighted materials.

Fitstop claims common law copyright and trade secret protection for several aspects of the franchise system, including manuals, training materials, advertising, and business materials. The TM Owner, Fitstop IP Pty Limited, owns these intellectual property rights and licenses them to Fitstop. Franchisees are required to notify Fitstop if they become aware of any unauthorized third-party use of these copyrighted materials. Fitstop retains the right to revise its system and copyrighted materials and may require franchisees to discontinue using outdated materials. Franchisees are responsible for printing any revised or new advertising, marketing, or other business materials.

During the term of the Franchise Agreement, franchisees will receive information considered trade secrets and confidential. Franchisees are prohibited from communicating, divulging, or using this confidential information, including copyrighted materials, methods, and techniques, for the benefit of any other person or entity, both during and after the term of the agreement. Disclosure is permitted only to employees who need access to fulfill their employment obligations. Franchisees must ensure that their Designated Manager and any personnel with access to confidential information sign a Confidentiality and Non-Competition Agreement, which identifies Fitstop as a third-party beneficiary with independent enforcement rights. This agreement ensures the confidentiality of information received in connection with their employment and restricts their right to work for a competitor during their employment.