What must Browns Chicken franchisees do regarding nutrition labeling requirements enacted after the Franchise Agreement's effective date?

According to Browns Chicken's 2025 Franchise Disclosure Document, franchisees must comply with all nutrition labeling requirements imposed by federal, state, or local law that are enacted after the effective date of the Franchise Agreement. This means that if new laws or regulations regarding nutrition labeling are introduced after the franchisee signs the agreement, they are responsible for adhering to those new requirements.

Browns Chicken franchisees are also responsible for complying with existing food and nutrition labeling laws and regulations, including those from the Food and Drug Administration (FDA) and the United States Department of Agriculture. This includes the Federal Food, Drug and Cosmetic Act, as amended by the Affordable Care Act of 2010, which mandates nutrition labeling of menu items and calorie content on menus.

Furthermore, Browns Chicken franchisees must strictly adhere to the franchisor's prescribed menu items, recipes, and food preparation methods as outlined in the Operations Manual. If a franchisee deviates from these standards, they become responsible for obtaining their own nutrition information to comply with applicable labeling requirements. However, the document emphasizes that such deviations are not permitted and would constitute a breach of the Franchise Agreement. Franchisees are also obligated to indemnify Browns Chicken for any losses or claims resulting from their failure to comply with these nutrition labeling requirements.