Does Browns Chicken warrant the suitability of the premises for a Browns Chicken store based on their approval?
Browns_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
PROSPECTIVE FRANCHISEE acknowledges and agrees that BROWN's approval of the premises for the Store and any information communicated to PROSPECTIVE FRANCHISEE regarding the premises for the Store do not constitute a representation or warranty of any kind, expressed or implied, as to the suitability of the premises for a Brown's Store or for any other purpose.
BROWN's approval of the premises indicates only that BROWN believes that the premises falls within the acceptable criteria established by BROWN as of the time period encompassing the evaluation.
Source: Item 23 — RECEIPT (FDD pages 43–202)
What This Means (2025 FDD)
According to Browns Chicken's 2025 Franchise Disclosure Document, Browns Chicken does not provide any representation or warranty regarding the suitability of a premises for a Browns Chicken store, even if they approve the location. Browns Chicken's approval only indicates that the location meets their criteria at the time of evaluation.
The document emphasizes that the prospective franchisee is responsible for their own independent investigation of the site's suitability. Factors considered acceptable at one site may not guarantee success at another, and demographic or economic conditions can change after Browns Chicken's approval. These factors are beyond Browns Chicken's control, and they are not liable if an approved site fails to meet the franchisee's revenue or operational expectations.
This means that while Browns Chicken will provide criteria for site selection, the ultimate decision and risk assessment lies with the franchisee. The franchisee should not rely solely on Browns Chicken's approval but should conduct thorough due diligence, including market research and financial analysis, to determine if the location is viable for their Browns Chicken franchise. Browns Chicken furnishes PROSPECTIVE FRANCHISEE in writing criteria for site selection, which materials must be returned to BROWN upon termination of this Agreement.