Is the seller of a Noodles & Company franchise permitted to disclose the agreement's provisions to its lenders, including indenture trustees?

According to the 2025 Noodles & Company Franchise Disclosure Document, franchisees are restricted in their ability to disclose confidential information. Specifically, franchisees may only disclose confidential information if Noodles & Company agrees in writing that it may be disclosed.

This restriction means a Noodles & Company franchisee needs written permission from the company before sharing details about the franchise agreement, including its provisions, with lenders like banks or indenture trustees. This is a stricter-than-average requirement in franchising, as many franchisors allow disclosure to financial and legal advisors without needing specific consent.

The franchisee and their owners must maintain the confidentiality of Noodles & Company's proprietary and trade secret information. This obligation extends both during the term of the agreement and indefinitely after. Unauthorized copying or distribution of confidential information is prohibited, and franchisees must implement procedures to prevent unauthorized use or disclosure, including using non-disclosure agreements with their owners, officers, directors, and general managers. These agreements must be delivered to Noodles & Company. Therefore, a prospective franchisee should discuss with Noodles & Company what information, if any, can be shared with potential lenders.