What is the definition of 'Proprietary Items' in the Floors To Go franchise agreement?
Floors_To_Go Franchise · 2025 FDDAnswer from 2025 FDD Document
You shall promptly discontinue use of all floor covering samples, labels, display racks, Proprietary Information, advertisements, and any other items bearing the FTG Marks or relating to the FTG System (the "Proprietary Items") and shall promptly remove all such Proprietary Items from the Showroom and totally deidentify the Showroom premises as being or ever having been a Floors To Go Showroom.
You must destroy all Proprietary Items and dispose of same within ten (10) days after termination or expiration of this Agreement for any reason.
You shall be prohibited from copying, disseminating, or in any other manner disclosing or using any Proprietary Information and other proprietary materials, all of which you acknowledge to be our trade secrets;
You shall remove the FTG Marks from all Showroom signage, interior and exterior;
You shall cease to utilize the FTG System;
Source: Item 23 — RECEIPTS (FDD pages 47–204)
What This Means (2025 FDD)
According to the 2025 Floors To Go Franchise Disclosure Document, Proprietary Items are defined as all floor covering samples, labels, display racks, Proprietary Information, advertisements, and any other items bearing the FTG Marks or relating to the FTG System. These items are all linked to the Floors To Go brand and its operating system.
Upon termination or expiration of the franchise agreement, the franchisee must promptly discontinue the use of all Proprietary Items. This includes removing them from the showroom and de-identifying the premises to ensure it no longer appears to be a Floors To Go Showroom. The franchisee is also required to destroy all Proprietary Items and dispose of them within ten days after the termination or expiration of the agreement.
Furthermore, the franchisee is prohibited from copying, disseminating, or disclosing any Proprietary Information or other proprietary materials, as these are considered trade secrets of Floors To Go. The franchisee must also remove the FTG Marks from all showroom signage, both interior and exterior, and cease utilizing the FTG System altogether.