What is considered 'Restricted Persons' in the Spray Net franchise agreement, as it relates to non-disclosure of confidential information?

Based on the 2025 Spray Net Franchise Disclosure Document, the franchise agreement outlines confidentiality obligations that extend to those in a position to access confidential information. Specifically, if an individual is a manager of the Franchised Business, or an officer/director/manager/partner of Franchisee that has not already executed a Personal Guaranty agreeing to be bound by the terms of the Franchise Agreement, they are subject to certain restrictions. These individuals agree not to be involved in a Competing Business of any kind for a period of two years after the expiration or termination of their employment with Franchisee for any reason.

The restrictions apply (i) at or within a 60 mile radius of the Premises; or (ii) within a 60-mile radius of any other Franchised Business that exists at the time their employment with Franchisee ceases through the date of their involvement with the Competing Business. This post-term restrictive covenant is designed to protect Spray Net's confidential information, trade secrets, and unique methods.

This non-compete agreement ensures that individuals with access to sensitive information cannot leverage that knowledge to benefit a competing business within a specified timeframe and geographic area. This is a common practice in franchising to safeguard the franchisor's business model and protect the interests of other franchisees within the system. A prospective franchisee should carefully review these restrictions and understand their implications, especially if they plan to involve managers, officers, directors, or partners in the business who have not already signed a personal guaranty.