According to the Bhc Franchise Agreement, what is the document referred to as?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
| THIS AGREEMENT, dated | , by and between BHC USA LLC ("Franchisor") and |
|---|---|
| of | (the "Franchisee"). All capitalized terms not otherwise |
| defined herein shall have the meanings set forth in the Franchise Agreement, defined below. | |
| The Franchisor has granted to the Franchisee, pursuant to that certain Franchise Agreement dated | |
| (the "Franchise Agreement"), the right to operate a Franchised BHC Restaurant. The | |
| undersigned, in consideration of the receipt and/or use of the Operations Manual and other information | |
| proprietary to the Franchisor, including but not limited to methods, strategies and techniques developed | |
Source: Item 23 — Receipts (FDD pages 52–230)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, the document granting the right to operate a franchised Bhc restaurant is referred to as the "Franchise Agreement". This agreement outlines the terms and conditions under which a franchisee can operate a Bhc restaurant.
Specifically, the Franchise Agreement grants the franchisee the right to participate in and use the Bhc system to conduct the franchised business at the franchised Bhc restaurant within a defined territory. This license is non-exclusive, meaning Bhc could potentially grant other franchises outside the franchisee's territory.
The Franchise Agreement also stipulates that Principal Equity Operators must execute a Guarantee of Franchise Agreement. Upon expiration or termination of the Franchise Agreement, the franchisee has no claim against Bhc for compensation related to goodwill associated with the Marks.