Who is perpetually bound by the confidentiality covenant in the Fly Fitness agreement?

According to Fly Fitness's 2024 Franchise Disclosure Document, the Covenantor is perpetually bound to maintain the confidentiality of the Confidential Information. The agreement states that the Covenantor must, at all times, maintain the confidentiality of the Confidential Information and shall use such Confidential Information only in the course of his or her employment by or association with Franchisee in connection with the operation of a Franchised Business under the Franchise Agreement.

This means that anyone who signs the Confidentiality and Non-Compete Agreement (referred to as the "Covenantor") is obligated to protect Fly Fitness's confidential information indefinitely. This obligation exists during their employment or association with the Fly Fitness franchisee and continues even after their employment or association ends. The Covenantor cannot disclose this information to unauthorized parties or use it for purposes outside of operating the franchised business.

This perpetual obligation is a significant commitment for the Covenantor. It is designed to protect Fly Fitness's trade secrets, operational methods, and other proprietary information. Prospective franchisees should ensure that anyone they intend to have sign the Covenantor agreement fully understands the scope and duration of this confidentiality obligation. Franchisees should also have procedures in place to ensure Covenantors are aware of what constitutes confidential information and how to properly handle it to avoid breaches of the agreement.