Under what circumstances can the terms of the Pump It Up Release be disclosed?
Pump_It_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
During and after the Term, you may not communicate, divulge or use for any purpose (other than the operation of the Franchised Business) any confidential information, knowledge, trade secrets or know-how which may be communicated to you or which you may learn by virtue of your relationship with us ("Confidential Information"). You may only divulge Confidential Information to your professional advisers and to your employees who must have access to the Confidential Information to operate the Franchised Business. All Confidential Information relating to us, our business plans, or the System are deemed confidential for purposes of this Agreement, except information that you can demonstrate came to your attention by lawful means prior to our disclosure; or which, at the time of our disclosure to you, had become a part of the public domain. You must require your Operating Principal and all employees and any other person or entity you wish to disclose any Confidential Information to sign agreements, in a form acceptable to us, that they will maintain the confidentiality of the disclosed information. The agreements must identify us as a third-party beneficiary with the independent right to enforce the agreements.
Source: Item 23 — RECEIPTS (FDD pages 60–225)
What This Means (2025 FDD)
According to the 2025 Pump It Up FDD, the terms and conditions surrounding confidential information within the franchise agreement are detailed. Franchisees may only divulge Confidential Information to their professional advisors and to their employees who must have access to the Confidential Information to operate the Franchised Business.
Pump It Up considers all Confidential Information relating to their business plans or the System as confidential, unless the franchisee can prove it was already known to them lawfully before disclosure or was already in the public domain at the time of disclosure. Franchisees must ensure their Operating Principal, employees, and anyone else they disclose Confidential Information to sign agreements, in a form acceptable to Pump It Up, promising to maintain confidentiality.
These agreements must identify Pump It Up as a third-party beneficiary, granting them the independent right to enforce these confidentiality agreements. This ensures Pump It Up can directly protect its confidential information, even if the franchisee fails to do so. This is a standard practice in franchising to protect the franchisor's proprietary information and system.