After the Ledgers Franchise Agreement expires, is the franchisee still prohibited from revealing Confidential Information?

According to Ledgers's 2025 Franchise Disclosure Document, franchisees are prohibited from revealing confidential information even after the Franchise Agreement expires or is terminated. The FDD specifies that franchisees may never reveal any of Ledgers's confidential information to any other person or entity or use it for the benefit of any other person or business, not only during the initial term and any renewal term, but also after the Franchise Agreement expires or is terminated. This restriction is designed to protect Ledgers's proprietary information and maintain its competitive advantage. Customer data, including names, telephone numbers, addresses, and email addresses, is explicitly considered confidential information.

This perpetual restriction on revealing confidential information has significant implications for a prospective Ledgers franchisee. Even after leaving the Ledgers system, a former franchisee cannot use or disclose any confidential information learned during their time as a franchisee. This includes customer lists, operational methods, and other proprietary information.

Franchisees must also return Ledgers's Operations Manuals and any Confidential Information upon termination of the Franchise Agreement. While franchisees may retain Confidential Information as needed for legal, tax, and insurance purposes, the information retained will remain subject at all times to the confidentiality restrictions of the Agreement. This obligation is further reinforced by the requirement to destroy any Confidential Information stored in printed or digital form within ten days of termination or expiration of the agreement and provide written certification of destruction.