factual

What can Browns Chicken do if the former store premises is not properly de-identified?

Browns_Chicken Franchise · 2025 FDD

Answer from 2025 FDD Document

Franchisee shall, at Franchisee's expense, make such specific additional changes as Brown may reasonably request for this purpose. If Franchisee fails to initiate immediately or complete such alterations within such period of time as Brown deems appropriate, Franchisee agrees that Brown or its designated agents may enter the premises of the former Store and adjacent areas at any time to make such alterations as Brown deems appropriate to distinguish Franchisee's former Store premises, without liability for trespass. Franchisee expressly acknowledges that failure to make such alterations will cause irreparable injury to Brown and hereby consents to entry, at Franchisee's expense, of any ex parte order by any court of competent jurisdiction authorizing Brown or its agents to take such action, if Brown seeks such an order. Compliance with the foregoing shall be a condition subsequent to Brown's approval of any relocation request by Franchisee, and in the event complete de-identification of the former Store premises is not properly and completely undertaken, Brown may then revoke its permission for relocation and declare a default under this Agreement.

Source: Item 22 — Contracts (FDD page 43)

What This Means (2025 FDD)

According to Browns Chicken's 2025 Franchise Disclosure Document, if a franchisee fails to properly de-identify a former store premises after relocation, Browns Chicken has the right to take specific actions to protect its brand. Browns Chicken can enter the former store premises and make alterations it deems appropriate to distinguish the location from other Browns Chicken stores. This is done to prevent public confusion and protect the Browns Chicken brand.

Browns Chicken can enter the premises at any time without liability for trespass to make these alterations. Browns Chicken can also seek an ex parte order from a court to authorize its agents to make the necessary changes at the franchisee's expense. The franchisee consents to this action in the franchise agreement, acknowledging that failure to de-identify the premises will cause irreparable harm to Browns Chicken.

Furthermore, compliance with de-identification is a condition for Browns Chicken's approval of any relocation request. If the franchisee does not completely de-identify the former store, Browns Chicken can revoke its permission for the relocation and declare a default under the franchise agreement. This highlights the importance Browns Chicken places on maintaining its brand identity and preventing confusion after a store relocates.

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.