Is the Pump It Up franchisee required to execute confidentiality covenants?

According to the 2025 Pump It Up FDD, franchisees are required to ensure that their employees with access to the Pump It Up software execute confidentiality covenants. These covenants must be substantially similar to those found in Section 18 of the Franchise Agreement. This requirement ensures that the franchisee takes responsibility for maintaining the confidentiality of Pump It Up's proprietary software by their employees.

This obligation extends beyond simply informing employees about the confidential nature of the software. Pump It Up requires franchisees to actively obtain signed agreements from employees, demonstrating a proactive approach to protecting its trade secrets. The confidentiality covenants are designed to prevent unauthorized communication, disclosure, or use of the software, safeguarding Pump It Up's intellectual property.

Pump It Up also requires franchisees to take reasonable precautions to protect the confidentiality of the software and user manuals, at least as rigorous as those used to protect their own confidential information. This includes instructing employees about the proprietary nature of the materials. Franchisees must also notify Pump It Up immediately if they become aware of any unauthorized knowledge, possession, or use of the software. These measures highlight the importance Pump It Up places on protecting its software and trade secrets, and the responsibility it places on franchisees to uphold these protections.