Protection of Confidential Operations Manual in Franchising Agreements

In modern-day franchising the franchisor will license his business model and operational strategies to folks who will run the franchised outlets. To ensure quality, consistency and customer service the franchisor will define in the confidential operations manual be exact method of doing business. Often in these confidential operations manuals they will nearly address every single possible aspect of the franchised business model.

In doing so, the franchisor risks giving away secrets, which might fall into the hands of competitors. Therefore protection of the confidential operations manual in franchising is essential. It is for this reason that I came up with additional clauses for our franchise agreements to protect our proprietary information in our franchise company. Below you will find a copy of that clause;

4.1.6 Confidential Operations Manual

Franchisor will lend Franchisee a copy of The Company