Does the Gokhale Method agreement require franchisees to acknowledge receiving Confidential Information?
Gokhale_Method Franchise · 2024 FDDAnswer from 2024 FDD Document
- 17.1. In-Term Covenants. You specifically acknowledge that, pursuant to this Agreement, you will receive valuable, specialized training and Confidential Information, including, without limitation, information regarding the Gokhale Method and techniques used by us and the System.
You covenant that during the Term of this Agreement, except as otherwise approved in writing by us, you shall not, either directly or indirectly, for yourself, or through, on behalf of, or in conjunction with any person or legal entity:
- 17.1.1.
Divert or attempt to divert any present or prospective customer of any Gokhale Method class, service or product to any competitor, by direct or indirect inducement or otherwise, or do or perform, directly or indirectly, any other act injurious or prejudicial to the goodwill associated with the Marks and the System;
Source: Item 22 — CONTRACTS (FDD page 34)
What This Means (2024 FDD)
According to the 2024 Gokhale Method Franchise Disclosure Document, franchisees acknowledge that they will receive valuable, specialized training and Confidential Information, including information regarding the Gokhale Method and techniques used by Gokhale Method and the System.
The agreement specifies that during the term of the agreement, franchisees are prohibited from diverting or attempting to divert any present or prospective customer of any Gokhale Method class, service or product to any competitor. They cannot perform any act that is injurious or prejudicial to the goodwill associated with the Marks and the System, unless otherwise approved in writing by Gokhale Method.
Upon termination or expiration of the Franchise Agreement, franchisees must immediately cease using any of Gokhale Method's Intellectual Property, including Confidential Information, methods, procedures, techniques, Marks, and distinctive forms associated with the System. This includes ceasing the use of signs, advertising materials, displays, stationery, forms, products, and any other articles that display the Marks.
These measures are typical in franchising to protect the franchisor's brand, trade secrets, and customer relationships. Franchisees should understand the scope of the confidential information they will receive and the restrictions on its use both during and after the franchise term.