Regarding confidentiality, what steps is the recipient required to take to ensure that Confidential Information and Trade Secrets of Monicals Pizza are kept confidential?
Monicals_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
- a) Recipient shall not communicate or divulge to (or use for the benefit of) any other person, firm, association, or corporation, with the sole exception of Franchisee, now or at any time in the future, any Trade Secrets or other Confidential Information. At all times from the date of this Agreement, Recipient must take all steps reasonably necessary and/or requested by Franchisee to ensure that the Confidential Information and Trade Secrets are kept confidential pursuant to the terms of this Agreement. Recipient must comply with all applicable policies, procedures and practices that Franchisee has established and may establish from time to time with regard to the Confidential Information and Trade Secrets.
- b) Recipient's obligations under paragraph 2(a) of this Agreement shall continue in effect after termination of Recipient's relationship with Franchisee, regardless of the reason or reasons for termination, and whether such termination is voluntary or involuntary, and Franchisee is entitled to communicate Recipient's obligations under this Agreement to any future customer or employer to the extent deemed necessary by Franchisee for protection of its rights hereunder and regardless of whether Recipient or any of its affiliates or assigns becomes an investor, partner, joint venturer, broker, distributor or the like in a Monical's Pizza Restaurant.
Source: Item 23 — RECEIPTS (FDD pages 46–257)
What This Means (2025 FDD)
According to Monicals Pizza's 2025 Franchise Disclosure Document, as the recipient of confidential information and trade secrets, you must take necessary steps to maintain confidentiality. Specifically, you are prohibited from communicating or sharing any trade secrets or confidential information with any other person, firm, association, or corporation, except for the franchisee.
From the date of the agreement, you must take all steps reasonably necessary and/or requested by Monicals Pizza to ensure that the confidential information and trade secrets are kept confidential, in accordance with the terms of the agreement. This includes complying with all applicable policies, procedures, and practices that Monicals Pizza has established or may establish regarding confidential information and trade secrets.
These obligations extend beyond the termination of your relationship with Monicals Pizza, regardless of the reason for termination (voluntary or involuntary). Monicals Pizza retains the right to inform any future customer or employer of your confidentiality obligations to protect its rights. This highlights the importance Monicals Pizza places on protecting its proprietary information and the ongoing responsibility of franchisees and their staff to maintain confidentiality.