factual

What is the consequence of unauthorized use of Floyds 99's Confidential Information?

Floyds_99 Franchise · 2025 FDD

Answer from 2025 FDD Document

Developer acknowledges that any unauthorized disclosure or use of the Confidential Information would be wrongful and would cause irreparable injury and harm to Franchisor.

Source: Item 23 — RECEIPT (FDD pages 58–229)

What This Means (2025 FDD)

According to the 2025 Floyds 99 FDD, unauthorized disclosure or use of the Confidential Information would be considered wrongful and cause irreparable injury and harm to Floyds 99. Confidential Information includes the business format, plans, methods, data, processes, marketing systems, manuals, product formulas, techniques, designs, layouts, operating procedures, trademarks, proprietary marks and information, and know-how. It also includes client lists, vendor lists, product formulas, and any information in the Operations Manual, as well as any information that gives Floyds 99 an advantage over competitors.

Floyds 99 emphasizes that it has invested significant effort and money in developing its Confidential Information and has taken precautions to protect its secrecy. The FDD states that it would be very costly for competitors to acquire or duplicate this information. Therefore, franchisees are prohibited from publishing, disclosing, divulging, or communicating any of Floyds 99's Confidential Information to any person or entity, or using it for their own benefit or the benefit of others, except for the use of Floyds 99 or the FLOYD'S 99 Shop(s) developed under the agreement.

This clause protects Floyds 99's competitive advantage and proprietary business methods. Franchisees must be extremely careful to safeguard all information deemed confidential, as any unauthorized use can have serious repercussions. However, information that is generally available to the public is not considered Confidential Information.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.