For Angry Chickz franchisees in Maryland, under what condition are initial fees and payments deferred?

According to the 2025 Angry Chickz Franchise Disclosure Document, for franchisees in Maryland, the payment of initial fees and payments is deferred under a specific condition. Due to Angry Chickz's financial condition, the Maryland Securities Commissioner has mandated a financial assurance. As a result, all initial fees and payments owed by franchisees in Maryland are deferred.

This deferral remains in effect until Angry Chickz completes its pre-opening obligations as outlined in the franchise agreement. This means that a new Angry Chickz franchisee in Maryland will not be required to pay the initial franchise fee until Angry Chickz has fulfilled its responsibilities in preparing the franchisee to open their restaurant.

This condition provides a significant benefit to Maryland franchisees, as it reduces their upfront financial burden and aligns the payment of fees with the progress of the franchise setup. It also offers some protection to the franchisee, ensuring that Angry Chickz is committed to fulfilling its pre-opening obligations before receiving the initial franchise fees. This arrangement reflects a measure of financial oversight by the Maryland Securities Commissioner to protect franchisee investments, given the franchisor's financial status.