Can Angry Chickz develop restaurants outside of a franchisee's development area?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
s, from outlets that we own, or from other channels of distribution or competitive brands that we control.
We expressly reserve (our "Reserved Rights") the exclusive, unrestricted right, in our sole and absolute discretion, directly and indirectly:
- a) to develop, own and/or operate and to franchise or license others to own and/or operate (i) Restaurants, the physical location of which are located outside of the Development Area, regardless of proximity to the Development Area, (ii) businesses that provide goods and services within and outside of the Development Area, regardless of proximity to the Development Area under names other than "Angry Chickz," (iii) Restaurants and other businesses at Non-Traditional Venues (defined below) within or outside the Development Area, and regardless of their proximity to any Restaurant developed or under development or consideration by you; and (iv) businesses operating under names other than under our trademarks at any location, and of any type whatsoever, regardless of their proximity to the Development Area and whether or not such businesses use any portion of the System, offer similar products or services or compete with Restaurants;
- b) to offer, sell, provide, produce, license, distribute and market products and services identified by our trademarks and/or other trademarks or service marks to any person or entity, at or through any location or outlet (other than Restaurants, the physical premises of which are located within the Development Area, except for Restaurants located at Non-Traditional Venues), regardless of proximity to the Development Area, and through any distribution channel, at wholesale or retail, including by means of the internet or internet web site, mobile application, online food and beverage ordering, third-party food and beverage delivery services, food trucks or other non-fixed locations, mail order catalogs, direct mail advertising, and other distribution methods, including websites, online retailers, and direct sales through affiliates;
Source: Item 12 — TERRITORY (FDD pages 33–36)
What This Means (2025 FDD)
According to the 2025 Angry Chickz Franchise Disclosure Document, Angry Chickz retains significant rights to develop restaurants and other businesses outside of a franchisee's Development Area. Specifically, Angry Chickz reserves the right to develop, own, operate, franchise, or license others to operate restaurants outside a franchisee's Development Area, regardless of proximity. This includes the right to operate businesses under names other than "Angry Chickz" both within and outside the Development Area.
This reservation of rights extends to various business types and venues. Angry Chickz can establish restaurants at Non-Traditional Venues, such as airports, casinos, and college campuses, both within and outside the Development Area. They can also engage in other food service businesses, even those that compete with Angry Chickz restaurants, under different trademarks and at any location. Furthermore, Angry Chickz has the right to market and distribute products and services identified by their trademarks through various channels, including the internet, mobile applications, and third-party delivery services, without restriction based on the Development Area.
For a prospective franchisee, this means that while they are granted a Development Area, Angry Chickz maintains considerable freedom to operate and expand outside of it. This could lead to competition from Angry Chickz-owned or franchised businesses in nearby areas or through alternative channels. The franchisee's Protected Area around their specific restaurant location offers some limited protection, but Angry Chickz's Reserved Rights significantly curtail the exclusivity a franchisee might expect. Franchisees should carefully consider these Reserved Rights and their potential impact on their business when evaluating the Angry Chickz franchise opportunity.
It is important to note that Angry Chickz also reserves the right to develop or merge with other concepts, including dual branding and franchise systems, and award franchises under those concepts for locations anywhere. This broad reservation of rights underscores the importance of a thorough understanding of the Development Agreement and Franchise Agreement before investing in an Angry Chickz franchise.