What is the Associate's obligation regarding Floyds 99's Confidential Information?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
ta | Pending | | Rhode Island | Pending | | South Dakota | Pending | | Virginia | Pending | | Washington | Pending | | Wisconsin | Pending |
| Harassment/Bulling | 28 |
|---|---|
| Other Topics | |
| Staffing | |
| CHAPTER FIVE - MARKETING | |
| Marketing Budgets | 30 |
| National Marketing Contribution | |
| Local Advertising Allocation | |
| Marketing Approval | 30 |
EXHIBIT I (TO DISCLOSURE DOCUMENT)
NONDISCLOSURE AND NONCOMPETITION AGREEMENT
| This Nondisclosure and Noncompetition Agreement (the "Agreement") is made and entered into | ||
|---|---|---|
| effective the day of, 20 by and between Floyd's 99 Franchising, LLC, a Colorado limited | ||
| liability company ("Company"), located at 7900 E. Berry Place, Greenwood Village, CO 80111 and | ||
| resides | at | |
| ("Associate"), | ||
| who | ||
RECITALS
- A. The Company has developed methods for establishing and operating franchises for the operation of retail hair care businesses ("FLOYD'S 99 Shops" or "Barbershops") which use the service mark "FLOYD'S 99" and related service marks, trade names and trademarks ("Marks");
- B. The Company has developed methods for establishing, operating and promoting Barbershops pursuant to the Company's distinctive business format, plans, methods, data, processes, marketing systems, formulas, techniques, designs, layouts, operating procedures, trademarks, proprietary marks and information and know-how of the Company ("Confidential Information") and such Confidential Information as may be further developed from time to time by the Company;
- C. The Company and its affiliates have established substantial goodwill and an excellent reputation with respect to the quality of services and products available, which goodwill and reputation have been and will continue to be of major benefit to the Company;
- D. Assoc
Source: Item 23 — RECEIPT (FDD pages 58–229)
What This Means (2025 FDD)
According to the 2025 Floyds 99 FDD, an Associate, who is or will become involved with Floyds 99 in a capacity such as an officer, partner, director, agent, Principal Manager, employee, principal, beneficial owner, or as an immediate family member of one of the foregoing persons associated with a Floyds 99 Shop, acknowledges that they will become privy to Confidential Information. Due to this access, the Associate and Floyds 99 have agreed to terms regarding the Associate's nondisclosure of Confidential Information and noncompetition with the company.
Floyds 99 defines Confidential Information as the methods for establishing, operating, and promoting Barbershops, including the company's distinctive business format, plans, methods, data, processes, marketing systems, formulas, techniques, designs, layouts, operating procedures, trademarks, proprietary marks, and know-how. This information may be further developed by the company over time. The Associate's agreement to nondisclosure is based on the understanding that Floyds 99 and its affiliates have built substantial goodwill and an excellent reputation, which benefits the company significantly.
The Associate's obligation to maintain the confidentiality of Floyds 99's Confidential Information is a legally binding agreement, supported by mutual promises and valuable consideration. This ensures that the Associate will not disclose or use the Confidential Information for their own benefit or for the benefit of any entity other than Floyds 99 or its FLOYD'S 99 Shops. This obligation is crucial for protecting Floyds 99's competitive advantage and the integrity of its business operations.