Can Angry Chickz operate restaurants at Non-Traditional Venues within a franchisee's development area?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
We expressly reserve (our "Reserved Rights") the exclusive, unrestricted right, in our sole and absolute discretion, directly and indirectly:
- a) to develop, own and/or operate and to franchise or license others to own and/or operate (i) Restaurants, the physical location of which are located outside of the Development Area, regardless of proximity to the Development Area, (ii) businesses that provide goods and services within and outside of the Development Area, regardless of proximity to the Development Area under names other than "Angry Chickz," (iii) Restaurants and other businesses at Non-Traditional Venues (defined below) within or outside the Development Area, and regardless of their proximity to any Restaurant developed or under development or consideration by you; and (iv) businesses operating under names other than under our trademarks at any location, and of any type whatsoever, regardless of their proximity to the Development Area and whether or not such businesses use any portion of the System, offer similar products or services or compete with Restaurants;
Source: Item 12 — TERRITORY (FDD pages 33–36)
What This Means (2025 FDD)
According to the 2025 Angry Chickz Franchise Disclosure Document, Angry Chickz retains the right to operate restaurants at Non-Traditional Venues within a franchisee's development area. The FDD defines a "Non-Traditional Venue" as locations such as those within another primary business, institutional settings, corporate campus complexes, toll roads, highway travel plazas, hotels, resorts, amusement parks, casinos, airports, sports arenas, stadiums, bus stations, train stations, theme parks, convention centers, military facilities, movie theaters, hospitals, concert venues, grocery stores, supermarkets, convenience stores, schools, college campuses, ships, gyms, offices, expositions, fairs, shopping mall food courts, food halls, and commercial kitchens.
This means that even if a franchisee has an Area Development Agreement for a specific territory, Angry Chickz can still open or license others to open Angry Chickz restaurants in Non-Traditional Venues within that territory. This is a significant consideration for potential franchisees as it could lead to direct competition within their designated development area.
Angry Chickz's right to operate in Non-Traditional Venues is part of their "Reserved Rights," which they retain in their sole and absolute discretion. This also includes the right to develop businesses that provide goods and services within and outside the Development Area under names other than "Angry Chickz". Prospective franchisees should carefully consider the implications of these reserved rights, as they could impact the potential market and profitability of their Angry Chickz franchise.