What is the Browns Chicken franchisee's representative required to do during the period of interim management by Brown?
Browns_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee agrees to provide Brown with monthly written reports of progress toward effecting the transfer, from the date of death or disability until the transfer is completed.
- (2) Operation After Death or Permanent Disability.
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
Source: Item 22 — Contracts (FDD page 43)
What This Means (2025 FDD)
Based on the 2025 Browns Chicken 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 (executor, administrator, conservator, guardian, or other personal representative) is required to take specific actions. Within a reasonable timeframe, not exceeding thirty days from the date of death or permanent disability, the representative must appoint a manager to oversee the Browns Chicken store's operations.
This appointed manager is subject to Browns Chicken's approval. If Browns Chicken requests it, the manager must attend and successfully complete the franchisor's training program designed for franchisees. Furthermore, the manager is obligated to execute Browns Chicken's standard Confidentiality and Non-Competition Agreement, ensuring the protection of the brand's sensitive information and preventing competitive activities.
In addition to appointing a manager, the franchisee's representative must provide Browns Chicken with monthly written reports detailing the progress made toward transferring the franchise. This reporting obligation begins from the date of death or disability and continues until the transfer is finalized. Failure to properly manage the store or to transfer the franchise within six months from the date of death or permanent disability constitutes a breach of the Franchise Agreement.