Does Angry Chickz have the right to be an express third-party beneficiary in agreements between the franchisee and Restricted Persons or management personnel?

According to the 2025 Angry Chickz Franchise Disclosure Document, Angry Chickz has the right to be an express third-party beneficiary in agreements between the franchisee and Restricted Persons or management personnel. Specifically, Angry Chickz may require that they be named as an express third-party beneficiary in agreements that the franchisee makes with Restricted Persons or other management personnel who have access to confidential information. This allows Angry Chickz to directly enforce the terms of those agreements.

This provision is significant for prospective Angry Chickz franchisees because it means they must ensure that agreements with certain individuals include terms that Angry Chickz can enforce directly. This typically relates to confidentiality and non-compete obligations. The franchisee must provide copies of these agreements to Angry Chickz upon request, ensuring transparency and compliance.

This requirement protects Angry Chickz's interests by giving them direct legal recourse against individuals who might otherwise only be contractually bound to the franchisee. It also allows Angry Chickz to maintain tighter control over the protection of its confidential information and brand standards. Franchisees should carefully review the specific requirements for these agreements to ensure they comply with Angry Chickz's standards.