Under what conditions can Bojangles establish or license others to establish new Bojangles Restaurants in the Assigned Area, despite the developer's exclusive rights?
Bojangles Franchise · 2025 FDDAnswer from 2025 FDD Document
Notwithstanding the foregoing, Franchisor and its affiliates retain all rights with respect to Bojangles Restaurants, the Proprietary Marks, the sale of similar or dissimilar products and services to those offered at Bojangles Restaurants, and any other activities Franchisor deems appropriate whenever and wherever Franchisor desires, including the right, among others, to:
(1) establish and operate and license others to establish and operate Bojangles Restaurants at any location outside the Assigned Area;
(2) establish and operate or license others to establish and operate Bojangles Restaurants at any location within the Assigned Area after the expiration or termination of this Agreement; and
(3) operate, and license others to operate, Bojangles Restaurants utilizing the System within the Assigned Area that are located: (i) in 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 (ii) within one (1) mile along each side of interstate highways located within the Assigned Area.
(4) Franchisor also reserves the right to offer goods and services associated with the Proprietary Marks throughout the System including the Assigned Area, including without limitation, the right to sell the same or similar products that are authorized for sale at Bojangles Restaurants under the Proprietary Marks or under other trademarks or trade dress and through any other channel of distribution, whether such channel of distribution is now in existence or is hereafter developed and whether at retail or wholesale including, without limitation, sales through catalogs, e-commerce, mail order, carts or kiosks, mass merchandise, supermarkets, grocery stores, restaurants, institutional customers, ghost kitchens, club stores and any other outlet or method of distribution, pursuant to any terms and conditions as Franchisor may deem appropriate.
Source: Item 23 — RECEIPTS (FDD pages 82–573)
What This Means (2025 FDD)
According to Bojangles's 2025 Franchise Disclosure Document, while a developer typically has exclusive rights to establish Bojangles restaurants within their assigned area, Bojangles retains specific rights to establish or license others to establish restaurants under certain circumstances.
Specifically, Bojangles can establish or license restaurants within the assigned area after the expiration or termination of the Development Agreement. Additionally, Bojangles can operate or license others to operate restaurants within the assigned area in specific 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 with master concessionaires or contract foodservice providers, Indian reservations, casinos, or similar captive market locations. Bojangles also reserves the right to operate or license restaurants within one mile along each side of interstate highways within the assigned area.
Furthermore, Bojangles reserves the right to offer goods and services associated with its Proprietary Marks throughout the System, including within the Assigned Area. This includes the right to sell the same or similar products authorized for sale at Bojangles Restaurants under the Proprietary Marks or other trademarks through any channel of distribution, whether existing or developed in the future, such as catalogs, e-commerce, mail order, carts, kiosks, mass merchandise, supermarkets, grocery stores, restaurants, institutional customers, ghost kitchens, and club stores. These activities can be pursued under any terms and conditions Bojangles deems appropriate.
These exceptions to the developer's exclusive rights are important for prospective franchisees to consider, as they define the boundaries of their protected territory and the potential for Bojangles to operate or license other outlets within that area. Franchisees should seek clarification from Bojangles regarding the specific locations and channels of distribution that may be utilized within their assigned area to fully understand the scope of their exclusivity.