What happens if a Browns Chicken franchisee cannot maintain possession of the premises for renewal?
Browns_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
- d. Franchisee maintains possession of and remodels and/or expands the Premises, adds or replaces equipment, fixtures, furnishings, furniture and signs and otherwise modifies the Store to bring it into compliance with specifications and standards then applicable under new or renewal franchises for BROWN'S Stores; or if Franchisee is unable to maintain possession of the Premises, or in the judgment of Brown, the Store should be relocated. Franchisee has secured substitute premises in compliance with specifications and standards then applicable under new or renewal franchises for BROWN'S Stores; and
Source: Item 22 — Contracts (FDD page 43)
What This Means (2025 FDD)
According to Browns Chicken's 2025 Franchise Disclosure Document, a franchisee's right to renew their franchise is contingent upon several factors, including maintaining possession of the premises. If a Browns Chicken franchisee is unable to maintain possession of the premises, they can still potentially renew the franchise if they secure substitute premises. These substitute premises must comply with the specifications and standards then applicable under new or renewal franchises for Browns Chicken stores.
This means that a franchisee facing loss of their current location needs to proactively find a new site that meets Browns Chicken's current requirements for new or renewing locations. This could involve adhering to specific design standards, size requirements, or location criteria. The franchisee bears the responsibility of finding and securing this new location to maintain their renewal eligibility.
It is important to note that Browns Chicken retains the right to determine whether the substitute premises are suitable. Even if a franchisee finds a new location, Browns Chicken must approve it as meeting their standards. This gives Browns Chicken significant control over the renewal process and the location of its franchises. A prospective franchisee should discuss with Browns Chicken what specific criteria are used to evaluate substitute premises to fully understand the requirements for maintaining renewal options if the original location becomes unavailable.