What is a Hydrodog franchisee obligated to do to maintain the confidentiality of the Confidential Information?
Hydrodog Franchise · 2025 FDDAnswer from 2025 FDD Document
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- Confidentiality. You will (a) not use the Confidential Information in any other business or capacity; (b) maintain the absolute confidentiality of the Confidential Information during and after the term of the Franchise Agreement and your employment by, or association with, us; (c) not make unauthorized copies of any portion of the Confidential Information disclosed in written form; and (d) comply with all procedures we prescribe from time to time to prevent unauthorized use or disclosure of the Confidential Information.
(c) Will not make unauthorized copies of any Confidential Information disclosed via electronic medium or in written or other tangible form; and
(d) will adopt and implement all reasonable procedures that we periodically prescribe to prevent unauthorized use or disclosure of Confidential Information, including, without limitation, restricting its disclosure to Franchised Business personnel and others needing to know such Confidential Information to operate your HydroDog Business, and requiring all employees and independent contractors having access to Confidential Information to sign confidentiality and non-competition agreements in a form acceptable to us. We have the right to regulate the form of confidentiality and non-competition agreement that you use and to be a third-party beneficiary of that agreement with independent enforcement rights.
You must disclose to us all ideas, techniques, services and products concerning the development and operation of your HydroDog Business that you or your employees conceive or develop during the term of this Agreement. You must grant to us and agree to obtain from your owners, employees, contractors, and agents a perpetual, irrevocable, royalty-free, non-exclusive, transferable, and worldwide right to use, modify, exploit, and sublicense these ideas, techniques, innovations, improvements and products concerning the development and operation of Franchised Business that you or your employees, contractors, or agents conceive or develop during the term of this Agreement in all pet-related product and service businesses. We will have no obligation to make any lump sum or on-going payments to you with respect to any idea, concept, method, technique or product. You must agree that you will not use nor will you allow any other person or entity to use any of these ideas, techniques or products without obtaining our prior written approval. Such ideas, techniques, services and products will be deemed to be our sole and exclusive property, part of the System, and works made-for-hire for us. To the extent any item does not qualify as a "work made-for-hire" for us, by this paragraph you assign ownership of that item, and all related rights to that item, to us and agree to sign whatever assignment or other documents we request to evidence our ownership or to help us obtain intellectual property rights in the item.
Source: Item 23 — RECEIPTS (FDD pages 43–166)
What This Means (2025 FDD)
According to the 2025 Hydrodog FDD, franchisees have several obligations to maintain the confidentiality of Hydrodog's Confidential Information. These obligations are designed to protect Hydrodog's proprietary information and trade secrets, both during the term of the franchise agreement and afterward. Franchisees must not use the Confidential Information in any other business or capacity and must maintain its absolute confidentiality during and after their association with Hydrodog.
Specifically, Hydrodog franchisees must not make unauthorized copies of any Confidential Information disclosed in written form or via electronic medium or in other tangible forms. They are also required to comply with all procedures prescribed by Hydrodog to prevent unauthorized use or disclosure of the Confidential Information. This includes restricting its disclosure to only those personnel and others who need to know the information to operate the Hydrodog Business.
Furthermore, Hydrodog franchisees must ensure that all employees and independent contractors who have access to Confidential Information sign confidentiality and non-competition agreements in a form acceptable to Hydrodog. Hydrodog retains the right to regulate the form of these agreements and to be a third-party beneficiary with independent enforcement rights. Franchisees are also obligated to disclose to Hydrodog all ideas, techniques, services, and products concerning the development and operation of their Hydrodog Business that they or their employees conceive or develop during the term of the agreement, granting Hydrodog a perpetual, irrevocable, royalty-free, non-exclusive, transferable, and worldwide right to use, modify, exploit, and sublicense these innovations.