Does Fly Fitness hold any patents material to the franchise?
Fly_Fitness Franchise · 2024 FDDAnswer from 2024 FDD Document
Our mutual obligations to protect your rights to use our copyrights are the same as the obligations for Trademarks described in Item 13 of this disclosure document.
During the term of the Franchise Agreement, you may have access to and become acquainted with our trade secrets, including, but not limited to, methods, formulas, processes, customer lists, vendor partnerships and/or relationships, sales and technical information, costs, product prices and names, software tools and applications, website and/or email design, products, services, equipment, technologies and procedures relating to the operation of your Fly Fitness outlet; systems of operation, services, programs, products, procedures, policies, standards, techniques, requirements and specifications which are part of the System; the Operations Manual; methods of advertising and promotion; instructional materials; marketing plans, business methods, research, development or know-how, any other information which we may or may not specifically designate as "confidential" or "proprietary", and the components of our System whether or not such information is protected or protectable by patent, copyright, trade secret or other proprietary rights (collectively called the "Confidential Information"). You agree that you will take all reasonable measures to maintain the confidentiality of all Confidential Information in your possession or control and that all such Confidential Information and trade secrets shall remain our exclusive property. You may never (during the Initial Term, any Renewal Term, or after the Franchise Agreement expires or is terminated) reveal any of our confidential information to another person or use it for any other person or business. You may not copy any of our Confidential Information or give it to a third party except as we authorize in writing to you prior to any dissemination. Your personnel who have access to our Confidential Information must sign our Confidentiality/Non-Competition Agreement (Franchise Agreement, Attachment 8).
You must promptly tell us when you learn about unauthorized use of any Confidential Information. We are not obligated to take any action but will respond to this information as we think appropriate.
We will indemnify you for losses brought by a third party concerning your use, in strict compliance with the Franchise Agreement, of the Confidential Information.
Source: Item 14 — PATENTS, COPYRIGHTS AND PROPRIETARY INFORMATION (FDD pages 32–33)
What This Means (2024 FDD)
According to Fly Fitness's 2024 Franchise Disclosure Document, the document does not explicitly state whether Fly Fitness owns any patents. However, Item 14 discusses confidential information, stating that the franchisee may have access to trade secrets, methods, formulas, processes, customer lists, vendor partnerships, sales and technical information, costs, product prices and names, software tools and applications, website and/or email design, products, services, equipment, technologies and procedures relating to the operation of the Fly Fitness outlet. This information is part of the Fly Fitness system, including operations manuals, advertising methods, marketing plans, business methods, research, development, and know-how. This information may or may not be protected by patent, copyright, trade secret, or other proprietary rights.
The Franchise Agreement states that the franchisee must maintain the confidentiality of all confidential information and that it remains Fly Fitness's exclusive property. The franchisee cannot reveal confidential information to another person or use it for any other business, nor can they copy or give it to a third party without written authorization. Personnel with access to confidential information must sign a Confidentiality/Non-Competition Agreement.
Fly Fitness will indemnify the franchisee for losses brought by a third party concerning the franchisee's use of the confidential information, provided that the franchisee is in strict compliance with the Franchise Agreement. The franchisee must promptly inform Fly Fitness of any unauthorized use of confidential information. Fly Fitness is not obligated to take any action but will respond as it deems appropriate.
While the FDD does not confirm the existence of patents, it emphasizes the protection of confidential information and trade secrets, suggesting that proprietary methods and processes are integral to the Fly Fitness system. A prospective franchisee should directly ask Fly Fitness whether any aspects of the business model or equipment are patented and clarify the scope of patent protection.