Are Stretch Zone franchisees required to have their employees sign a Confidentiality and Non-Competition Agreement?
Stretch_Zone Franchise · 2025 FDDAnswer from 2025 FDD Document
We require each of your employees to sign our form of Confidentiality and Non-Competition Agreement (the form of which is included in the Operations Manual) as a condition of employment.
Source: Item 1 — ITEM -1 THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS AND AFFILIATES (FDD pages 10–15)
What This Means (2025 FDD)
According to the 2025 Stretch Zone Franchise Disclosure Document, franchisees are required to have their employees sign a Confidentiality and Non-Competition Agreement as a condition of employment. This agreement is Stretch Zone's standard form, which is included in the Operations Manual.
This requirement ensures that Stretch Zone's confidential business information and competitive advantages are protected. By mandating this agreement, Stretch Zone aims to prevent employees from sharing sensitive information or competing with the franchise during or after their employment.
For a prospective franchisee, this means they must incorporate this agreement into their hiring process and ensure all employees sign it. The specific terms of the agreement, as found in the Operations Manual, should be carefully reviewed to understand the scope of confidentiality and non-competition obligations. Franchisees should consult with legal counsel to ensure the agreement complies with local and state laws regarding non-compete agreements.