Is executing a new franchise agreement a requirement for renewing an Angry Chickz franchise?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
isions of the franchise and related agreements**. You should read these provisions in the agreements attached to this disclosure document.
| Provision | Section in Franchise Agreement | Summary |
|---|---|---|
| a. Length of the | § 3.1 | 10 years |
| franchise term | ||
| b. Renewal or | § 3.2 | 2 successive 5-year periods |
| extension of the | ||
| term | ||
| c. Requirements for franchisee to renew or extend | §§ 3.2 – 3.4 | We use the term "renewal" to refer to extending our franchise relationship at the end of your initial term (and any other renewal or extension of the initial term). You may be asked to sign a contract with materially different terms and conditions than your original contract. You must: (1) pay the successor agreement fee; (2) have complied with your obligations during the term of your Franchise Agreement; (3) have delivered a notice between 9 and 12 months before the expiration of the Term; (4) execute a new franchise agreement which may contain materially different terms and conditions from your original contract; (5) must have undertaken and completed at your expense the remodeling, renovation and refurbishment of your Angry Chickz Restaurant, unless you have remodeled your business within the preceding 5 years; (6) sign a general release; (7) not have committed three or more material defaults during prior 36 month period and (8) you or your employees, as applicable, must have complied with our then-current qualification, training and certification requirements, at your expense. |
| d. Termination by | Not applicable | Subject to state law. |
| franchisee | ||
| e. |
Source: Item 17 — RENEWAL, TERMINATIONS, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 39–48)
What This Means (2025 FDD)
According to Angry Chickz's 2025 Franchise Disclosure Document, executing a new franchise agreement is required for renewal. The FDD specifies that to renew the franchise agreement for an additional term, franchisees must meet several conditions, including executing a new franchise agreement. This new agreement may contain terms and conditions that are materially different from the original contract.
In addition to signing a new franchise agreement, franchisees must also pay a successor agreement fee, comply with all obligations under the existing Franchise Agreement, and provide notice of their intent to renew between 9 and 12 months before the expiration of the current term. Franchisees are also typically required to remodel, renovate, and refurbish their Angry Chickz Restaurant at their own expense, unless they have already done so within the preceding 5 years.
Furthermore, franchisees must sign a general release and must not have committed three or more material defaults during the 36-month period before renewal. The franchisee and their employees must also meet Angry Chickz's then-current qualification, training, and certification requirements, again at the franchisee's expense. These stipulations ensure that franchisees remain compliant with Angry Chickz's standards and practices, although the potentially "materially different terms and conditions" in the new agreement introduce an element of uncertainty and risk for franchisees seeking to renew.