factual

Is an Angry Chickz franchisee considered an employee, agent, partner, or co-venturer of the Company?

Angry_Chickz Franchise · 2025 FDD

Answer from 2025 FDD Document

16.1 Relationship of Franchisee to Company. It is expressly agreed that the parties intend by this Agreement to establish between Company and Franchisee the relationship of franchisor and franchisee. It is further agreed that Franchisee has no authority to create or assume in Company's name or on behalf of Company, any obligation, express or implied, or to act or purport to act as agent or representative on behalf of Company for any purpose whatsoever. Neither Company nor Franchisee is the employer, employee, agent, partner or co-venturer of or with the other, each being independent. Franchisee will not hold itself out as the agent, representative, employee, partner or co-venturer of Company. All workers hired by or working for Franchisee shall be the employees of Franchisee and shall not, for any purpose, be deemed employees of Company or any of its Affiliates. Company (and its Affiliates) will not exercise direct or indirect control over the working conditions of Franchised Business personnel, except to the extent such indirect control is related to Company's legitimate interest in protecting the quality of the System and its services, products, or Marks. Company (and its Affiliates) do not share or codetermine the employment terms and conditions of Franchisee's employees and do not affect matters relating to the employment relationship between Franchisee and its employees, such as employee selection, promotion, termination, hours worked, rates of pay, other benefits, work assigned, discipline, adjustment of grievances and complaints, and working conditions.

Source: Item 22 — CONTRACTS (FDD page 54)

What This Means (2025 FDD)

According to Angry Chickz's 2025 Franchise Disclosure Document, the franchise agreement explicitly establishes the relationship between Angry Chickz and its franchisees as that of franchisor and franchisee. The agreement specifies that the franchisee has no authority to act on behalf of Angry Chickz, nor can they create any obligations for the company.

Specifically, the franchise agreement states that neither Angry Chickz nor the franchisee is considered an employer, employee, agent, partner, or co-venturer of the other; both parties operate as independent entities. The franchisee is prohibited from presenting themselves as an agent, representative, employee, partner, or co-venturer of Angry Chickz.

Furthermore, all workers hired by the franchisee are solely employees of the franchisee and are not considered employees of Angry Chickz or its affiliates. Angry Chickz maintains limited indirect control over the working conditions of the franchisee's personnel only to the extent necessary to protect the quality of the Angry Chickz system, services, products, and marks. Angry Chickz does not share or codetermine employment terms, conditions, or any other employment-related matters for the franchisee's employees.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.