What happens to Angry Chickz's obligations to the franchisee upon termination of the Franchise Agreement?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
- 15.1 General. In the event of rescission of this Agreement, and/or upon the expiration or termination (including nonrenewal) of Franchisee's rights granted under this Agreement:
- 15.1.3 Any and all obligations of Company to Franchisee under this Agreement shall immediately cease and terminate.
Source: Item 22 — CONTRACTS (FDD page 54)
What This Means (2025 FDD)
According to Angry Chickz's 2025 Franchise Disclosure Document, in the event of the termination, rescission, or expiration (including nonrenewal) of the Franchise Agreement, any and all obligations of Angry Chickz to the franchisee under the agreement will immediately cease and terminate.
This means that Angry Chickz will no longer be obligated to provide any support, services, or fulfill any promises made to the franchisee in the Franchise Agreement. The franchisee should be aware that this cessation of obligations takes effect immediately upon termination, expiration, or rescission.
This clause is fairly standard in franchise agreements. It is important for a prospective Angry Chickz franchisee to fully understand the circumstances under which the agreement can be terminated and what their rights and obligations are in such a situation. Understanding these terms can help a franchisee prepare for potential risks and make informed decisions throughout the franchise relationship.