factual

After the Bojangles franchise agreement expires or terminates, is a franchisee prohibited from offering food or drink products prepared using Bojangles' recipes or formulas at any location other than the Restaurant operated under the agreement?

Bojangles Franchise · 2025 FDD

Answer from 2025 FDD Document

B. Franchisee hereby acknowledges that pursuant to this Agreement, Franchisor will provide Franchisee with access to and training in processes and procedures of a proprietary nature and will provide Franchisee with access to and the right to use recipes and formulas, the Manual, logos, designs, trademarks, trade names and other proprietary information in connection with Franchisee's development and operation of the Restaurant. Franchisee acknowledges and agrees that Franchisee shall not at any time, whether during the term of this Agreement or after its expiration or earlier termination, disclose any information obtained through such training or from any materials provided by Franchisor to Franchisee and pertaining to the Bojangles System to any third party other than employees of Franchisee directly involved in the operations of the Restaurant. Further, Franchisee agrees that during the term of this Agreement and after its expiration or earlier termination, it shall not use any of such information or proprietary marks, including but not limited to any processes, procedures, recipes and formulas, for any purpose other than the operation of the Restaurant and will take all steps necessary to prevent any other use of them. Without limiting the foregoing, Franchisee specifically agrees that it shall not during the term of this agreement or after its expiration or earlier termination, offer for sale at any location, other than during the term of this Agreement the Restaurant being operated at that time pursuant to this Agreement, any food or drink products prepared using in whole or part the procedures, processes, techniques, recipes or formulas provided by Franchisor to Franchisee.

  • C. Franchisee acknowledges that any failure to comply with the requirements of this Paragraph IX. will cause irreparable injury to Franchisor, and Franchisee agrees to pay all court costs and reasonable attorneys' fees incurred by Franchisor in obtaining specific performance of, or an injunction against violation of, the requirements of this Paragraph IX.

Source: Item 22 — CONTRACTS (FDD page 82)

What This Means (2025 FDD)

According to Bojangles's 2025 Franchise Disclosure Document, franchisees are restricted from using Bojangles' proprietary information, including recipes and formulas, outside of their franchised restaurant location, both during the term of the agreement and after its expiration or termination. Specifically, a franchisee is prohibited from offering for sale, at any other location, food or drink products prepared using Bojangles' procedures, processes, techniques, recipes, or formulas. This restriction is in place to protect Bojangles' brand and system.

This means that after the franchise agreement ends, a former franchisee cannot use Bojangles' recipes to sell similar food or drink items at a different restaurant or business. This restriction applies regardless of whether the termination was early or at the natural expiration of the agreement. The franchisee is also prohibited from disclosing any information obtained during their training or from materials provided by Bojangles to any third party, except for employees directly involved in the restaurant's operations.

Bojangles emphasizes the importance of these restrictions by stating that any failure to comply will cause irreparable injury to the company. The franchisee agrees to cover all court costs and reasonable attorney's fees incurred by Bojangles in enforcing these requirements through specific performance or an injunction. This highlights the seriousness with which Bojangles views the protection of its proprietary information and brand identity.

These types of restrictions are common in franchising to protect the brand's competitive advantage and maintain consistency across all franchise locations. Prospective franchisees should carefully consider these post-termination restrictions and how they might impact their future business endeavors before entering into a franchise agreement with Bojangles.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.