factual

Following the death or permanent disability of a Browns Chicken franchisee, what is the timeframe for appointing a manager to operate the store?

Browns_Chicken Franchise · 2025 FDD

Answer from 2025 FDD Document

Upon the death or permanent disability of Franchisee or the owner of a controlling interest in Franchisee, the executor, administrator, conservator, guardian or other personal representative of such person shall appoint a manager to operate the Store within a reasonable time, not to exceed thirty (30) days from the date of death or permanent disability of such person.

The appointment of such manager shall be subject to the prior written approval of Brown and, if requested by Brown, such manager shall attend and complete Brown's training program for franchisees.

Such manager shall execute Brown's then-current form of Confidentiality and Non-Competition Agreement.

If in the judgment of Brown, the Store is not being managed properly after the death or permanent disability of Franchisee or the owner of a controlling interest in Franchisee, Brown shall have the right to appoint a manager for the Store to manage the Store for up to thirty (30) days.

During that period, Franchisee shall either cause its manager to attend additional training, or appoint another manager.

If Franchisee fails to do so, Brown may terminate this Agreement.

Brown shall periodically discuss the status with the Franchisee or the Franchisee's representative during such period of interim management.

All funds from the operation of the Store during the management by Brown's appointed manager will be kept in a separate bank account, and all expenses of the Store including compensation, other costs, and travel and living expenses of Franchisee's manager will be charged to this account.

Source: Item 22 — Contracts (FDD page 43)

What This Means (2025 FDD)

According to Browns Chicken's 2025 Franchise Disclosure Document, in the event of the death or permanent disability of a franchisee or the owner of a controlling interest in the franchise, their representative is required to appoint a manager to operate the Browns Chicken store. This appointment must occur within a reasonable timeframe, specifically not exceeding thirty (30) days from the date of death or permanent disability.

The appointed manager is subject to approval by Browns Chicken. If requested by Browns Chicken, the manager must also attend and complete the Browns Chicken training program for franchisees. Additionally, the manager is required to sign Browns Chicken's current Confidentiality and Non-Competition Agreement.

If Browns Chicken determines that the store is not being managed properly following the death or disability of the franchisee, Browns Chicken reserves the right to appoint their own manager to oversee the store for up to thirty (30) days. During this period, the franchisee's representative must either ensure their appointed manager receives additional training or appoint a new manager. Failure to comply may result in Browns Chicken terminating the franchise agreement.

All funds generated during the period when Browns Chicken's appointed manager is running the store will be kept in a separate bank account. Expenses related to the store's operation, including compensation, costs, and travel and living expenses of the franchisee's manager, will be charged to this account. Browns Chicken also has the right to charge a reasonable management fee in addition to the standard royalty and advertising fees.

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.