Where must a Floors To Go franchisee keep the Proprietary Information?
Floors_To_Go Franchise · 2025 FDDAnswer from 2025 FDD Document
You must not, during the term of the Membership Agreement or after the term of the Membership Agreement, communicate, divulge, or use for the benefit of any other person, partnership, association or corporation any confidential information, knowledge, or knowhow concerning the methods of operation of the FTG System which may be communicated to you or of which you may be apprised by virtue of your operation under the terms of the Membership Agreement (including information, knowledge, or know-how concerning floor covering marketing and merchandising systems, procedures, processes and techniques). You may divulge this confidential information only to those employees who must have access to it in order to operate the FTG System. Any and all information, knowledge, know-how, techniques, and other data, which FTG designates as confidential, will be deemed confidential for purposes of the Membership Agreement. Upon the termination or expiration of the Membership Agreement, you must immediately return to FTG the Proprietary Information that were loaned to you, including all copies and supplements thereto, during the term of the Membership Agreement. You must destroy all other proprietary items and dispose of same within ten (10) days after termination or expiration of the Membership Agreement for any reason.
Source: Item 14 — PATENTS, COPYRIGHTS, AND PROPRIETARY INFORMATION (FDD pages 31–32)
What This Means (2025 FDD)
According to the 2025 Floors To Go Franchise Disclosure Document, during the term of the Membership Agreement, franchisees must not communicate, divulge, or use any confidential information, knowledge, or know-how concerning the methods of operation of the FTG System for the benefit of any other person, partnership, association, or corporation. This includes information related to floor covering marketing and merchandising systems, procedures, processes, and techniques. Franchisees are only allowed to share this confidential information with employees who need access to it to operate the FTG System.
Floors To Go designates any information, knowledge, know-how, techniques, and other data as confidential, which will be deemed confidential for the purposes of the Membership Agreement. Upon the termination or expiration of the Membership Agreement, franchisees must immediately return to FTG the Proprietary Information that was loaned to them, including all copies and supplements, during the term of the Membership Agreement.
Furthermore, franchisees must destroy all other proprietary items and dispose of them within ten days after the termination or expiration of the Membership Agreement for any reason. This ensures that confidential information remains protected and is not used to the detriment of Floors To Go after the franchise relationship ends. This is a standard practice in franchising to protect the brand's intellectual property and competitive advantage.