Are the names of Approved Suppliers for a Southern Steer Business considered 'Confidential Information'?
Southern_Steer Franchise · 2025 FDDAnswer from 2025 FDD Document
- (d) "Confidential Information" means and includes all of the business, technology, marketing, operational and proprietary information developed, created, owned or licensed by the Franchisor including, but not limited to, the following: (a) all plans and specifications relating to the construction of any Southern Steer Business, drawings and renderings, FF&E specifications and pricing, the names of all Approved Suppliers and Designated Suppliers, pricing information for any Foods, Beverages and Products sold to any Southern Steer Business, unpublished menus and menu designs, and all food recipes and cooking techniques, (b) all business information, financial data and information, practices, procedures, processes, "know how" and business and operational systems of the Franchisor, (c) all marketing strategies, programs, and concepts, training programs, Brand Manual and materials, and operational and business development concepts, including but not limited to all store design, schematics, construction documents, and artwork, (d) all exclusive sales and marketing processes taught to the Franchisee's personnel during any training programs, (e) all training programs and materials, (f) all Trade Secrets, intellectual property, proprietary databases, computer processes, computer systems, computer software programs and all source codes for all computer software programs (excluding commercially available off-the-shelf third-party software programs), (g) all copyrighted materials that have not been publicly disclosed by the Franchisor which are marked as "confidential," (h) all patents of the Franchisor, including pending patents, (i) all password-protected websites designed, created and developed by the Franchisor, including all passwords, text, content, color schemes, images, graphics, information, look and feel, layout, methodology, metrics, graphical interfaces and functionality, and (j) all other written materials disclosed to the Franchisee which have been designated as "confidential" by the Franchisor.
Source: Item 5 — and 7 of the FDD, Section 3.1 of the Franchise Agreement and Section 4.1 of the Multi-Unit Development Agreement are hereby amended to state that payment of the initial franchise fee and development fee will be deferred until We have satisfied Our pre-opening obligations, and You have commenced business operations. (FDD pages 168–290)
What This Means (2025 FDD)
According to Southern Steer's 2025 Franchise Disclosure Document, the names of all Approved Suppliers are considered Confidential Information. This means that a franchisee is obligated to protect this information and not disclose it to unauthorized parties. This obligation extends to the franchisee's employees and anyone else who gains access to this information through the franchisee.
The FDD specifies that 'Confidential Information' includes a wide array of business, technology, marketing, and operational data developed, owned, or licensed by Southern Steer. This encompasses not only the names of Approved Suppliers but also extends to pricing information for foods, beverages, and products sold to Southern Steer businesses, unpublished menus and designs, food recipes, and cooking techniques. The franchisor takes considerable measures to protect this information, recognizing its unique value and the potential harm that could arise if competitors were to access it.
As a franchisee, maintaining the confidentiality of this information is crucial. Unauthorized disclosure or use of Confidential Information and Trade Secrets could lead to significant financial and legal repercussions. Franchisees are responsible for ensuring that their employees and anyone associated with their business who has access to this information understand and adhere to these confidentiality obligations. This includes implementing appropriate safeguards to prevent unauthorized access and disclosure, as well as educating personnel about the importance of protecting Southern Steer's proprietary information.