Which article contains the non-disclosure and non-competition covenants that a Fly Fitness franchisee must comply with after termination?

According to Fly Fitness's 2024 Franchise Disclosure Document, Article 19, titled "NON-DISCLOSURE AND NON-COMPETITION COVENANTS," outlines the obligations of the franchisee regarding non-disclosure and non-competition. This section emphasizes the importance of maintaining the confidentiality of the operations manual, written directives, and other confidential materials provided by Fly Fitness. Franchisees and their principals must treat this information as trade secrets and restrict access to only those employees who require it for operating the franchised business.

Specifically, after the termination or expiration of the Franchise Agreement, franchisees are bound by certain restrictions to protect Fly Fitness's interests. These include refraining from operating a similar fitness business within a 10-mile radius of their former territory or any other Fly Fitness location. They are also prohibited from diverting or attempting to divert customers from the Fly Fitness system to a competitor. These post-termination covenants extend for a period of 24 months.

These non-disclosure and non-competition clauses are standard in franchising to protect the brand's proprietary information and market position. Prospective Fly Fitness franchisees should carefully review Article 19 to understand the full scope of their obligations both during the franchise term and after termination, as these covenants can significantly impact their future business activities.