Under what conditions can Bojangles terminate a franchisee's participation in the Equipment Reimbursement Incentive Program?
Bojangles Franchise · 2025 FDDAnswer from 2025 FDD Document
Our ERI Program is contingent on you remaining current with all royalty fee payments and all other financial or monetary obligations owed to us and our affiliates under any Franchise Agreement with us and any other agreements you have entered into with us and/or our affiliates. We may terminate your participation in the ERI Program if you fail to comply with the terms of your Development Agreement, Franchise Agreement(s), or any other agreement that you have entered into with us and/or our affiliates. If we terminate your participation in the ERI Program, we will have no obligation to reimburse you for any equipment costs related to the development of future Bojangles restaurants. The ERI Program will expire on December 31, 2025.
Source: Item 5 — INITIAL FEES (FDD pages 17–21)
What This Means (2025 FDD)
According to Bojangles's 2025 Franchise Disclosure Document, Bojangles may terminate a franchisee's participation in the Equipment Reimbursement Incentive Program (ERI Program) if the franchisee fails to comply with the terms of their Development Agreement, Franchise Agreement(s), or any other agreement they have entered into with Bojangles and/or its affiliates. If Bojangles terminates a franchisee's participation in the ERI Program, Bojangles will have no obligation to reimburse the franchisee for any equipment costs related to the development of future Bojangles restaurants.
It is important to note that the ERI Program is contingent on the franchisee remaining current with all royalty fee payments and all other financial or monetary obligations owed to Bojangles and its affiliates under any Franchise Agreement and any other agreements. The ERI Program is set to expire on December 31, 2025.
This means that a franchisee must maintain good standing in all aspects of their contractual relationship with Bojangles to continue receiving the benefits of the ERI Program. Failure to meet financial obligations or any other breaches of contract can result in the loss of eligibility for equipment cost reimbursements, which could significantly impact the franchisee's financial planning and investment recovery.