Does the Angry Chickz Franchise Agreement's definition of 'Assets' include general intangibles?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
"Assets" means all of the following personal property and assets owned by Franchisee or in which Franchisee otherwise has any rights, and located at, or used in connection with the Franchised Business: (a) all accounts, licenses, permits, and contract rights, including this Agreement, leasehold interests, all telephone and telecopier numbers, telephone and other directory listings, websites, email addresses, social media and other electronic accounts, profiles and listings associated with the Franchised Business, intellectual property derived from and created in connection with the Franchised Business (to the extent not assigned to Company), general intangibles, receivables, claims of Franchisee, all guaranties and security therefor and all of Franchisee's right, title and interest in the goods purchased and represented by any of the foregoing; (b) all chattel paper including electronic chattel paper and tangible chattel paper; (c) all
Source: Item 23 — RECEIPTS (FDD pages 54–260)
What This Means (2025 FDD)
According to the 2025 Angry Chickz Franchise Disclosure Document, the definition of 'Assets' within the Franchise Agreement does include general intangibles. Specifically, the agreement states that 'Assets' encompass all personal property and assets owned by the franchisee or in which the franchisee has rights, located at or used in connection with the franchised business. This definition extends to various items, including accounts, licenses, permits, contract rights, leasehold interests, telephone numbers, directory listings, websites, email addresses, social media accounts, and intellectual property created in connection with the franchised business (to the extent not assigned to Angry Chickz).
In practical terms, this means that when determining the assets associated with the Angry Chickz franchise, items like the franchise agreement itself, any intellectual property developed but not assigned to the company, and the general goodwill associated with the business are included. This is a fairly standard practice in franchising, as it ensures a comprehensive understanding of what constitutes the business's assets.
For a prospective Angry Chickz franchisee, this definition is important because it clarifies what is considered part of the business's assets. This can have implications for valuation, sale, or transfer of the franchise. It also highlights the importance of maintaining and protecting these assets, as they contribute to the overall value of the franchise. Franchisees should carefully review this definition and understand its implications for their business operations and future plans.