What must a Healthsource Chiropractic franchisee do with Confidential Information upon termination or expiration of the franchise agreement?
Healthsource_Chiropractic Franchise · 2025 FDDAnswer from 2025 FDD Document
You agree that on termination or expiration of the Franchise you will immediately cease to use any of the Confidential Information and agree not to use it in any business or for any other purpose.
You further agree that all non-disclosure and related covenants set forth in Section 9 above shall survive such termination or expiration and you will immediately return to us all copies of the Operations Manual and any written Confidential Information or other confidential materials that we have loaned or provided to you.
Source: Item 23 — Receipts (FDD pages 77–282)
What This Means (2025 FDD)
According to the 2025 Healthsource Chiropractic Franchise Disclosure Document, upon termination or expiration of the franchise agreement, the franchisee must immediately cease using any Confidential Information. They are prohibited from using it in any business or for any other purpose.
Furthermore, all non-disclosure and related covenants outlined in Section 9 of the agreement remain in effect even after termination or expiration. The franchisee is required to promptly return all copies of the Operations Manual, any written Confidential Information, and any other confidential materials that Healthsource Chiropractic provided to them.
This means a former Healthsource Chiropractic franchisee cannot leverage any of the brand's proprietary knowledge, systems, or materials to operate a competing business or for any other endeavor after the franchise agreement ends. This includes the Operations Manual, marketing strategies, and any other confidential documents or information provided by Healthsource Chiropractic. The franchisee's obligation to protect this information extends beyond the agreement's term, ensuring the confidentiality of Healthsource Chiropractic's trade secrets and business practices.