What is a franchisee's obligation regarding the confidentiality of Pump It Up's System Standards?
Pump_It_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
idential trade secrets. You acknowledge that we have valuable rights in and to such trade secrets. You further acknowledge that you have not acquired any right, title or interest in the System Standards except for the right to use the System Standards in the operation of the Pump It Up Business as it is governed by your Franchise Agreement, and that you are obligated to maintain the confidentiality of the System Standards.
We reserve the right to change the System Standards and inform you of any changes in the Manuals accessible to you online via computer systems or another electronic format. The Manuals may be modified, updated and revised from time to time to reflect changes in System Standards. You are expected to implement all relevant updates and amendments to the Manuals or System Standards as described in newsletters or any other notices we distribute through any written means. We reserve the right to require the implementation of any System Standards. You must maintain the Manuals as confidential and maintain the information in the Manuals as secret and confidential. Any form of the Manuals we make accessible to you, regardless of how we provide them (e.g. online or via email) will be deemed our Confidential Information. We will notify you in our Manuals or other communications of System Standards and/or names of PIU Vendors.
We reserve the right to require you to implement any System Standards within the time period we identify, whether they involve refurbishing or remodeling the Premises or any aspect of the Franchised Business, buying new operating assets, adding new products or services, or otherwise modifying the nature of your operations.
Source: Item 23 — RECEIPTS (FDD pages 60–225)
What This Means (2025 FDD)
According to Pump It Up's 2025 Franchise Disclosure Document, franchisees are obligated to maintain the confidentiality of the System Standards. Pump It Up owns and controls the distinctive plan for the establishment, operation, and promotion of the Pump It Up Business, which are defined as the System Standards. These System Standards include suggested specifications, best practices, standards, operating procedures, general guidance, and consultation on various aspects of the Pump It Up Business, such as the franchised site, premises, leasehold improvements, interior finish, equipment, products, marketing techniques, and service delivery methods. All of this information constitutes Pump It Up's confidential trade secrets.
As a Pump It Up franchisee, you acknowledge that Pump It Up has valuable rights to these trade secrets. You only acquire the right to use the System Standards in the operation of your Pump It Up Business as governed by the Franchise Agreement. Therefore, you are obligated to keep the System Standards confidential. This obligation ensures that the unique aspects of the Pump It Up system are protected and not disclosed to competitors or used in any way that could harm the brand.
Furthermore, the Pump It Up FDD states that the manuals contain mandatory and suggested specifications, best practices, standards, operating procedures, general guidance, ongoing advice, and consultation, including the System Standards. Franchisees must maintain the manuals as secret and confidential. Any form of the manuals made accessible online is deemed confidential information, and the franchisee must keep their access to the manuals secured. Franchisees are prohibited from copying, duplicating, recording, or reproducing any part of the manuals without express written authorization from Pump It Up.