Is a Ledgers franchisee prohibited from revealing Confidential Information to any other person or entity during the initial term of the Franchise Agreement?

According to Ledgers's 2025 Franchise Disclosure Document, franchisees are prohibited from revealing any confidential information to any other person or entity during the initial term of the Franchise Agreement. The Franchise Agreement lasts for a term of ten years. This restriction extends beyond the initial term, any renewal term, and even after the Franchise Agreement expires or is terminated.

Confidential Information includes, but is not limited to, Customer Data, which encompasses all information about customers collected in connection with their use of Ledgers' services, such as names, telephone numbers, addresses, and email addresses. Ledgers also considers all intellectual property associated with their Franchise System, all other materials relating to their Franchise System that are not a matter of public record, and all information generated during the performance of the Franchise Agreement as Confidential Information.

This obligation ensures the protection of Ledgers' proprietary assets and customer data. Franchisees must ensure that they and their employees understand the scope of Confidential Information and adhere to the restrictions on its use and disclosure. This is a standard practice in franchising to maintain the integrity and competitive advantage of the franchise system.