factual

What is the Browns Chicken franchisee's obligation regarding the location of Video Gaming?

Browns_Chicken Franchise · 2025 FDD

Answer from 2025 FDD Document

Franchisee shall construct a separate area ("Gaming Area"), separated by an appropriate physical barrier, within Franchisee's Store where the Video Gaming Terminals are located, in compliance with Section 58 of the Act.

Franchisee shall restrict access to the Gaming Area only to persons who are age twenty-one (21) years and older, as mandated by Sections 40 and 58 of the Act.

Franchisee shall comply with the requirement in Section 58 of the Act that the owner, manager or employee of the Licensed Establishment who is over 21 years of age shall be present during all hours of operation.

The Video Gaming Terminals or the entrance to the Gaming Area must be within the view of at least one owner, manager or employee who is over 21 years of age.

Franchisee shall comply with the requirement in Section 60(d) of the Act to maintain an adequate video gaming fund, in the amount determined by the Board.

In the event Franchisee violates any provision of the Act or of this Rider G, or of the Franchise Agreement, Franchisor shall have the right to terminate this Rider G.

Franchisor shall give Franchisee ten (10) days prior notice of termination of this Rider G, unless the violation is the revocation of Franchisee's license as a Licensed Establishment, in which event Franchisor may terminate this Rider G immediately effective upon revocation of Franchisee's State License.

If Franchisor terminates this Rider G, all video gaming terminals and other equipment shall be removed promptly in accordance with the terms of the Use Agreement, and Franchisee shall be prohibited from operating any Video Gaming activities at Franchisee's Store.

Source: Item 22 — Contracts (FDD page 43)

What This Means (2025 FDD)

According to the 2025 Browns Chicken Franchise Disclosure Document, if a franchisee is approved to offer video gaming at their store, they must construct a separate area referred to as the "Gaming Area" within their store where the video gaming terminals are located. This area must be separated by an appropriate physical barrier, and the construction must comply with Section 58 of the Illinois Video Gaming Act.

Access to the Gaming Area is restricted to individuals who are 21 years of age or older, as mandated by Sections 40 and 58 of the Act. Additionally, Section 58 of the Act requires that an owner, manager, or employee of the Licensed Establishment who is over 21 years of age must be present during all hours of operation. The video gaming terminals or the entrance to the Gaming Area must be within the view of at least one owner, manager, or employee who is over 21 years of age.

Browns Chicken franchisees must also comply with Section 60(d) of the Act, which requires maintaining an adequate video gaming fund in an amount determined by the Illinois Gaming Board. Failure to comply with any provision of the Act, Rider G (the Video Gaming Rider), or the Franchise Agreement can result in the termination of Rider G, with a ten-day prior notice, unless the franchisee's license as a Licensed Establishment is revoked, in which case termination is immediate. If Rider G is terminated, all video gaming terminals and equipment must be removed promptly, and the franchisee is prohibited from operating any video gaming activities at the store.

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.