factual

To whom can the franchisee divulge and allow access to the Pump It Up Software?

Pump_It_Up Franchise · 2025 FDD

Answer from 2025 FDD Document

Franchisee shall divulge and allow access to the Software only to those of its employees who must have access to it in connection with their employment in the System.

At Franchisor's request, Franchisee shall require and obtain execution of covenants concerning the confidentiality of the Software from any persons employed by Franchisee who have access to the Software.

These covenants shall be in a form substantially similar to the confidentiality covenants contained in Section 18 of the Franchise Agreement.

Source: Item 23 — RECEIPTS (FDD pages 60–225)

What This Means (2025 FDD)

According to Pump It Up's 2025 Franchise Disclosure Document, franchisees can only divulge and allow access to the Pump It Up software to specific individuals. Franchisees are permitted to provide access to the software only to those employees who require it to perform their job duties within the Pump It Up system. This restriction is in place because the software contains trade secrets belonging to Pump It Up.

To further protect the confidentiality of the software, Pump It Up requires franchisees to obtain confidentiality agreements from any employees who have access to it. These agreements must be substantially similar to the confidentiality covenants outlined in Section 18 of the Franchise Agreement. This ensures that employees are legally bound to protect the software and its trade secrets.

Pump It Up also mandates that franchisees take reasonable precautions to protect the confidentiality of the software and its user manuals. These precautions must be at least as rigorous as those the franchisee uses to protect their own confidential information. This includes instructing employees about the proprietary nature of the software and manuals, and ensuring they understand that these materials are trade secrets of Pump It Up or its third-party providers. Franchisees are also prohibited from removing or altering any proprietary designations on the software or manuals.

Franchisees must immediately notify Pump It Up of any unauthorized knowledge, possession, or use of the software or any part of it. This allows Pump It Up to take swift action to address any security breaches and protect its intellectual property. The software and user manuals are considered valuable property and trade secrets, and any violation of these provisions could result in irreparable injury to Pump It Up, potentially leading to injunctive relief and other legal remedies.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.