What is the relationship between Pearce Bespoke Franchising, LLC and the confidentiality agreement?
Pearce_Bespoke Franchise · 2025 FDDAnswer from 2025 FDD Document
ee;
WHEREAS, you are or are about to be an employee, independent contractor, officer and/or director of a Pearce Bespoke Business that is independently owned and operated by us;
WHEREAS, in the course of your employment, independent contractor relationship and/or association with us, you may gain access to Confidential Information (defined below in this Agreement) and you understand that it is necessary to protect the Confidential Information and for the Confidential Information to remain confidential;
WHEREAS, our franchisor, Pearce Bespoke Franchising, LLC is not a party to this agreement and does not own or manage the Pearce Bespoke Business but is an intended third-party beneficiary of this Agreement; and
WHEREAS, this Agreement is not an employment agreement and is only a confidentiality agreement in connection with information, materials and access that may be provided to you in connection with the Pearce Bespoke Business.
NOW THEREFORE, you acknowledge and agree as follows:
- 1. Recitals and Representations.
Source: Item 23 — RECEIPTS (FDD pages 39–172)
What This Means (2025 FDD)
According to the 2025 FDD, Pearce Bespoke Franchising, LLC is not a party to the confidentiality agreement but is named as an intended third-party beneficiary. The agreement is between the franchisee (as the owner/operator of the Pearce Bespoke business) and their employees, independent contractors, officers, and/or directors. The confidentiality agreement aims to protect Pearce Bespoke's confidential information, methods, customer data, and operational procedures.
This means that while the individual franchisee enters into the agreement with their personnel, Pearce Bespoke Franchising, LLC retains the right to enforce the confidentiality agreement as if they were a direct party. This is intended to protect the Pearce Bespoke system and brand standards across all franchise locations. The agreement covers non-public information related to the development, marketing, and operation of the Pearce Bespoke business, including customer lists, financial data, and the contents of the Operations Manual.
If an individual violates the confidentiality agreement, it could cause irreparable harm to both the franchisee and Pearce Bespoke Franchising, LLC, as well as other franchisees. Therefore, both the franchisee and Pearce Bespoke Franchising, LLC are entitled to seek injunctive relief to stop any breach of the agreement. The document states that Pearce Bespoke Franchising, LLC can pursue legal remedies against those who violate the agreement to protect its interests and the broader franchise network. The agreement also stipulates that the person signing the agreement acknowledges that it is not an employment agreement.
Before using the sample confidentiality agreement, Pearce Bespoke recommends that franchisees seek legal counsel from an independent local attorney to review and approve the agreement for use with their employees or contractors. This ensures compliance with local laws and provides an extra layer of protection for the franchisee and Pearce Bespoke Franchising, LLC.