What conditions must a Bojangles developer meet to prevent the franchisor from establishing or licensing others to establish new Bojangles Restaurants in the Assigned Area?
Bojangles Franchise · 2025 FDDAnswer from 2025 FDD Document
During the term of this Agreement and provided that Developer is in full compliance with all terms and conditions of all Franchise and Development Agreements between Developer and Franchisor and is current on all obligations due to Franchisor, Franchisor shall not establish, nor license anyone other than Developer to establish, any new Bojangles Restaurant under the System in the Assigned Area.
Source: Item 23 — RECEIPTS (FDD pages 82–573)
What This Means (2025 FDD)
According to Bojangles's 2025 Franchise Disclosure Document, during the term of the Development Agreement, a developer must be in full compliance with all terms and conditions of all Franchise and Development Agreements between the developer and Bojangles. The developer must also be current on all obligations due to Bojangles. If these conditions are met, Bojangles will not establish, nor license anyone other than the developer to establish, any new Bojangles Restaurant under the System in the Assigned Area.
However, Bojangles retains certain rights even within the Assigned Area. Bojangles can establish or license others to establish Bojangles Restaurants in locations such as airports, train stations, bus stations, transportation centers, travel plazas, stadiums, arenas, convention centers, military facilities, gas stations, convenience stores, schools, colleges, universities, hospitals, theme parks, office buildings, food courts, venues in which foodservice is or may be provided by a master concessionaire or contract foodservice provider, Indian reservations, casinos or any similar captive market location; or within one (1) mile along each side of interstate highways located within the Assigned Area.
This means that while a developer may have some territorial protection, Bojangles can still operate or license other locations within the Assigned Area under specific circumstances. A prospective franchisee should carefully consider these exceptions and how they might impact the potential market for their Bojangles restaurants. It is important to note that after the expiration or termination of the Development Agreement, Bojangles is entitled to establish, and to license others to establish, Restaurants in the Assigned Area.