Does Mr. Sandless possess confidential information?
Mr_Sandless Franchise · 2025 FDDAnswer from 2025 FDD Document
Business layout, advertising formats, accounting systems, operations systems, policies, procedures, systems, compilations of information, records, specifications, manuals, methods and procedures for sandless wood floor refinishing, dustless wood floor refinishing, sand and stain wood floor refinishing, wood floor care, wood floor cleaning, and floor maintenance, exterior wood refinishing, wood care, wood cleaning, and wood maintenance and other confidential information which we or our affiliates have developed for use in the operation of Mr. Sandless Businesses. You may not contest, directly or indirectly, our ownership of our trade secrets, methods or procedures, or contest our right to register, use or license others to use any such trade secrets, methods and procedures. You (including your partners, officers, directors, shareholders, as applicable), your employees, and their respective heirs, successors and assigns, are prohibited from using and/or disclosing any Confidential Information in any manner other than as we permit and must execute Confidentiality and Non-Compete Agreement in the form attached as Attachment 4.
Source: Item 22 — CONTRACTS (FDD page 42)
What This Means (2025 FDD)
According to the 2025 Mr. Sandless Franchise Disclosure Document, Mr. Sandless possesses confidential information. This information includes business layouts, advertising formats, accounting systems, operations systems, policies, procedures, systems, compilations of information, records, specifications, manuals, methods, and procedures for various wood floor and surface services. These services encompass sandless wood floor refinishing, dustless wood floor refinishing, sand and stain wood floor refinishing, wood floor care, wood floor cleaning, floor maintenance, exterior wood refinishing, wood care, wood cleaning, and wood maintenance.
As a Mr. Sandless franchisee, you are prohibited from contesting Mr. Sandless's ownership of its trade secrets, methods, or procedures. You are also restricted from contesting Mr. Sandless's right to register, use, or license others to use these trade secrets, methods, and procedures. This means that the franchisee acknowledges Mr. Sandless's exclusive rights to this information and cannot challenge those rights.
The franchisee, along with their partners, officers, directors, shareholders, employees, and their respective heirs, successors, and assigns, are prohibited from using or disclosing any confidential information except as permitted by Mr. Sandless. To ensure compliance, franchisees and their relevant personnel must execute a Confidentiality and Non-Compete Agreement, which is included as Attachment 4 in the Franchise Agreement. This agreement legally binds them to protect Mr. Sandless's confidential information and restricts them from competing with Mr. Sandless during and after the franchise term.
Upon termination or expiration of the Franchise Agreement, the franchisee is obligated to return the Operations Manual and any other materials containing confidential information or trade secrets to Mr. Sandless. This includes computer files, customer data, programs, and other materials provided by Mr. Sandless. This obligation ensures that all confidential information remains under the control of Mr. Sandless and is not used by the franchisee after the agreement ends.