What is an Angry Chickz franchisee required to do regarding cooperation with the company in response to a Crisis Management Event?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
- 7.5.2 Upon the occurrence of a Crisis Management Event, Franchisee shall immediately inform Company by telephone and email (or other electronic messaging medium authorized by Company for this purpose). Franchisee shall cooperate fully with Company with respect to Company's response to the Crisis Management Event. In the event of the occurrence of a Crisis Management Event, Company may require Franchisee to temporarily cease operating the Franchised Business and/or establish emergency processes and procedures pursuant to which Company may require Franchisee to take other actions or refrain from taking certain actions. Company shall not be liable to Franchisee for any losses or costs, including consequential damages or loss profits occasioned thereby by any closure or processes or procedures instituted as a result of a Crisis Management Event.
Source: Item 22 — CONTRACTS (FDD page 54)
What This Means (2025 FDD)
According to the 2025 Angry Chickz Franchise Disclosure Document, a franchisee has specific obligations in the event of a Crisis Management Event. The franchisee must immediately inform Angry Chickz by telephone and email, or another authorized electronic messaging medium. Furthermore, the franchisee is required to fully cooperate with Angry Chickz regarding the company's response to the Crisis Management Event.
Angry Chickz also has the authority to mandate certain actions from the franchisee during such an event. Specifically, Angry Chickz may require the franchisee to temporarily cease operating the franchised business. Additionally, Angry Chickz can establish emergency processes and procedures that the franchisee must follow, which may involve taking specific actions or refraining from certain actions.
It is important to note that Angry Chickz will not be held liable for any losses or costs incurred by the franchisee due to any closure, processes, or procedures instituted as a result of a Crisis Management Event. This includes consequential damages or lost profits. This clause highlights a potential financial risk for the franchisee, as they may experience business interruption and associated losses during a crisis, without recourse to recover these losses from Angry Chickz.