Are modifications to the Business System considered Confidential Information for Pearce Bespoke?
Pearce_Bespoke Franchise · 2025 FDDAnswer from 2025 FDD Document
Confidential Information includes (without limitation): all elements of the Business System and all products, services, equipment, technologies, policies, standards, requirements, criteria and procedures that now or in the future are part of the Business System; Franchisor's Operations Manual (including supplements to the Manual); all specifications, sources of supply, all procedures, systems, techniques and activities employed by Franchisor or Franchisee in the offer and sale of products and or services at the Pearce Bespoke Franchise; all pricing paradigms established by Franchisor or by Franchisee; all of Franchisor's and/or Franchisee's sources (or prospective sources) of supply and all information pertaining to same (including wholesale pricing structures, the contents of sourcing agreements and identity of suppliers); Franchisor's specifications, and Franchisee's final plans, for the construction, build-out, design, renovation, décor, equipment, signage, furniture, items and trade dress elements of the Pearce Bespoke Franchise; the identity of, and all information relating to, the computer and DRS POS hardware and software utilized by Franchisor and Franchisee; all information pertaining to Franchisor's and Franchisee's advertising, marketing, promotion and merchandising campaigns, activities, materials, specifications and procedures; all customer lists, customer data and other records generated and/or otherwise maintained by the Pearce Bespoke Franchise; Franchisor's Internet Code of Conduct, social media policy, internet/web protocols, procedures and content; Franchisor's training and other instruction programs and materials; all communications between Franchisor and Franchisee (including the financial and other reports Franchisee is required to submit to Franchisor under the Agreement); additions to, deletions from and modifications and variations of the components of the Business System and all other information, knowledge and know-how which Franchisor and its affiliates, now or in the future, designate as confidential.
Source: Item 22 — CONTRACTS (FDD page 39)
What This Means (2025 FDD)
According to Pearce Bespoke's 2025 Franchise Disclosure Document, modifications and variations of the components of the Business System are considered confidential information. This extends to all elements of the Business System, including products, services, equipment, technologies, policies, standards, requirements, criteria, and procedures that are part of the Business System, both now and in the future. The Pearce Bespoke Operations Manual, specifications, sources of supply, procedures, systems, techniques, and activities used in offering products and services are also considered confidential.
This means that as a Pearce Bespoke franchisee, you must treat any changes, updates, or alterations to the established Business System as highly sensitive and proprietary. You are obligated to protect this information and prevent its unauthorized disclosure or use. This obligation extends not only during the term of the franchise agreement but also after its expiration or termination.
The FDD specifies that confidential information does not include information that the franchisee already possessed before disclosure by Pearce Bespoke or information that becomes publicly available through no fault of the franchisee. However, franchisees must exercise caution and diligence in safeguarding all aspects of the Business System, including any modifications, to maintain the confidentiality required by the franchise agreement. This is a standard practice in franchising, as franchisors need to protect their intellectual property and maintain consistency across all franchise locations.