On whom is the Bonchon agreement binding?

According to Bonchon's 2025 Franchise Disclosure Document, the franchise agreement is binding on the named licensee and each of its employees, agents, representatives, and persons associated with it. Additionally, the agreement extends to each affiliated and subsidiary firm, corporation, or other organization, as well as any person, firm, corporation, or other organization with which the licensee may enter a joint venture or other cooperative enterprise.

This means that not only is the franchisee bound by the terms of the agreement, but so are all individuals working for or associated with the franchisee's business. This broadens Bonchon's reach in ensuring compliance with the franchise agreement across all levels of the franchisee's operations. It also encompasses any related business entities or partnerships the franchisee might form, ensuring that the Bonchon system's standards and requirements are consistently upheld.

For a prospective Bonchon franchisee, this clause highlights the importance of ensuring that all employees, agents, and affiliated entities are fully aware of and compliant with the franchise agreement. Failure to ensure compliance by any of these parties could result in a breach of the agreement, with potential consequences for the franchisee. This is a common provision in franchise agreements, designed to protect the franchisor's brand and operational standards across the entire network.