Does the proprietary information for Itan include site selection criteria?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
During the term of the Franchise Agreement, we allow you to use certain confidential and proprietary information (some of which constitute "trade secrets") relating to the development, marketing and operation of a Salon. Examples include:
- architectural plans, drawings and specifications for a prototype Salon
- site selection criteria
- methods, techniques, policies, procedures, standards and specifications
- supplier lists and information
- marketing and merchandising strategies
- information comprising the System
We own all ideas, improvements, inventions, marketing materials and other concepts you develop relating to a Salon. We also own all operational and customer data relating to your Salon. You must treat this data as confidential. We license you the right to use this data during the term of your Franchise Agreement. You must comply with all applicable data protection laws and our data processing and data privacy policies in the Manual.
We provide access to our confidential information through the Manual, training programs and other periodic support and guidance. You may use this information solely for purposes of developing, marketing and operating your Salon in compliance with the Franchise Agreement and Manual. You may not disclose our confidential information to anyone other than your employees, on a need-to-know basis, without our prior permission. We consider all information in the Manual to be confidential. All your employees and representatives (other than general managers) must sign the Confidentiality Agreement attached to the Franchise Agreement as ATTACHMENT "G" before you give them access to our confidential information.
Source: Item 14 — PATENTS, COPYRIGHTS, AND PROPRIETARY INFORMATION (FDD page 35)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, the proprietary information does include site selection criteria. The FDD specifies that Itan provides franchisees access to confidential and proprietary information, some of which constitutes trade secrets, relating to the development, marketing, and operation of a Salon. This includes site selection criteria.
For a prospective Itan franchisee, this means that Itan will provide guidance and specific criteria to help in choosing a suitable location for their salon. This support is crucial, as location significantly impacts the success of a retail business. The site selection criteria are considered confidential, so franchisees are obligated to maintain the confidentiality of this information.
Itan provides access to this confidential information through its Manual, training programs, and other periodic support. Franchisees are allowed to use this information solely for the purpose of developing, marketing, and operating their Itan salon in compliance with the Franchise Agreement and Manual. Franchisees cannot disclose this confidential information to anyone other than their employees, on a need-to-know basis, without prior permission from Itan.