Does the definition of 'Confidential Information' for Goldfish Swim School include customer data?
Goldfish_Swim_School Franchise · 2025 FDDAnswer from 2025 FDD Document
Confidential Information - means, without limitation, business practices; copyrighted materials; trademarks; patents; applications; trade secrets; trade dress; instructional materials; descriptions of Goldfish's products and services; proposed products and services; computer software and hardware utilized by the Franchise System and all information contained on such computer hardware and software; Customer Data; advertising materials; business plans; swim programs; swim curriculum and training manuals; employee compensation plans; identities of suppliers, customers and prospective customers; all specifications, sources of supply (or prospective sources) and all information pertaining to same (including wholesale pricing structures, contents of sourcing agreements and identity of suppliers), all procedures, systems, techniques and activities employed by Franchisor or Developer in the offer and sale of products and/or services at or from the Franchised Swim School; prices and pricing policies; financial data; computer programs and software; floor plans; development schedules; development plans; systems; operations and procedures; Confidential Brand Standards Manual; Developer's final plans for construction, build-out, design, renovation, décor, equipment, signage, furniture, fixtures, and trade dress of the Franchised Swim School; and all other information provided to Developer from Franchisor.
Source: Item 22 — CONTRACTS (FDD pages 76–77)
What This Means (2025 FDD)
According to Goldfish Swim School's 2025 Franchise Disclosure Document, the definition of 'Confidential Information' explicitly includes customer data. This means that as a franchisee, you are obligated to protect and maintain the confidentiality of all customer-related information acquired during the operation of your Goldfish Swim School franchise. This obligation extends both during the term of the franchise agreement and after its termination.
The FDD specifies that 'Confidential Information' encompasses a wide array of data, including but not limited to business practices, copyrighted materials, trademarks, trade secrets, instructional materials, descriptions of Goldfish Swim School's products and services, computer software and hardware, advertising materials, business plans, swim programs, training manuals, employee compensation plans, and identities of suppliers, customers, and prospective customers. The inclusion of 'Customer Data' in this list underscores its importance to the Goldfish Swim School system and the franchisor's commitment to protecting this information.
As a franchisee, you must adhere to strict confidentiality protocols to prevent unauthorized access, disclosure, or use of customer data. This may involve implementing security measures to safeguard customer information, training employees on data protection policies, and ensuring compliance with all applicable privacy laws and regulations. Failure to comply with these confidentiality obligations could result in legal action, financial penalties, and damage to the reputation of both the franchisee and the Goldfish Swim School brand. Prospective franchisees should carefully review the confidentiality provisions in the franchise agreement and seek legal counsel to fully understand their obligations.