Carls_Jr 2025 Franchise FAQ - FDD Ninja

Question 1

According to the Carls Jr. FDD, how many Massage Envy locations were operating in the United States as of December 31, 2024?

Accepted Answer

**ME SPE Franchising, LLC** (**"Massage Envy"**) is a franchisor of businesses that offer professional therapeutic massage services, facial services, and related goods and services under the name "Massage Envy®" since 2019. Massage Envy's principal place of business is 14350 North 87th Street, Suite 200, Scottsdale, Arizona 85260. Massage Envy's predecessor began operation in 2003, commenced franchising in 2010, and became an Affiliated Program through an acquisition in 2012. As of December 31, 2024, there were 1,009 Massage Envy locations operating in the United States, including 1,000 operated as total body care Massage Envy businesses and 9 operated as traditional Massage Envy businesses. Additionally, Massage Envy's predecessor previously sold franchises for regional developers, who acquired a license for a defined region in which they were required to open and operate a designated number of Massage Envy locations either by themselves or through franchisees that they would solicit. As of December 31, 2024, there were nine regional developers operating 11 regions in the United States. Massage Envy has not offered franchises in any other line of business.

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–20)

Question 2

According to the table, what is the projected number of new company-operated Carls Jr. restaurants expected to open in the next fiscal year?

Accepted Answer

| State | Franchise Agreements Signed But Restaurant Not Opened | Projected New Franchised Restaurants In Next Fiscal Year | Projected New Company- Operated Restaurants In Next Fiscal Year |
|---|---|---|---|
| Arizona | 0 | 0 | 0 |
| California | 2 | 1 | 0 |
| Colorado | 2 | 2 | 0 |
| Florida | 0 | 0 | 0 |
| Nevada | 1 | 2 | 0 |
| Washington | 0 | 0 | 0 |
| Total | 5 | 5 | 0 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)

Question 3

Across all states, how many Carls Jr. restaurants ceased operations for other reasons in 2025?

Accepted Answer

| State | Year | Restaurants at Start of the Year | Restaurants Opened | Terminations | Non- Renewals | Reacquired by Franchisor | Ceased Operations – Other Reasons | Restaurants at End of the Year |
|---|---|---|---|---|---|---|---|---|
| WY | 2023 | 3 | 0 | 0 | 0 | 0 | 0 | 3 |
|  | 2024 | 3 | 0 | 0 | 0 | 0 | 0 | 3 |
|  | 2025 | 3 | 0 | 0 | 0 | 0 | 0 | 3 |
| TOTAL | 2023 | 1018 | 6 | 0 | 0 | 0 | 4 | 1020 |
|  | 2024 | 1020 | 9 | 1 | 1 | 1 | 12 | 1014 |
|  | 2025 | 1014 | 7 | 0 | 4 | 1 | 34 | 982 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)

Question 4

What are the conditions that a Carls Jr. franchisee must comply with prior to and at the end of the Initial Term to continue as a franchisee for the Renewal Term?

Accepted Answer

he Franchised Location through the Initial Term of this Agreement), loses the right to possession of the Franchised Location, the Initial Term shall expire as of the date of the loss of the right to possession. However, if the right to possession is lost through no act or failure to act on Franchisee's part, Franchisee may relocate the Franchised Restaurant (without paying any additional initial franchise fee or transfer fee) at its expense and the Initial Term shall not expire if: **(1)** CJR accepts the new location; **(2)** Franchisee constructs and equips a Franchised Restaurant at the new location in accordance with the then-current System Standards and specifications; **(3)** a Franchised Restaurant at the new location is open to the public for business within 6 months after the loss of possession of the Franchised Location; and **(4)** Franchisee reimburses CJR for all reasonable expenses actually incurred by CJR in connection with the acceptance of the new location.

#### **B. Renewal Term**

- **(1)** At the expiration of the Initial Term, Franchisee shall have an option to remain a franchisee at the Franchised Location for a Renewal Term of 10 years or, at Franchisee's option, 5 years. Franchisee must give CJR written notice of whether or not it intends to exercise its renewal option and the length of the proposed Renewal Term not less than 12 months, nor more than 24 months, before the expiration of the Initial Term. Notwithstanding the foregoing, if Franchisee subleases the Franchised Location from CJR, Franchisee must give CJR the notice described in the preceding sentence not less than 6 months, nor more than 12 months, before notice of renewal is required to be provided to the landlord under the master lease. Failure by Franchisee to timely provide CJR the required notice constitutes a waiver by Franchisee of its option to remain a franchisee beyond the expiration of the Initial Term.
- **(2)** If Franchisee desires to continue as a franchisee for the Renewal Term, Franchisee must comply with all of the following conditions prior to and at the end of the Initial Term:
- **(a)** Franchisee shall not be in default under this Agreement or any other agreements between Franchisee and CJR or its affiliates; Franchisee shall not be in default beyond the applicable cure period under any real estate lease, equipment lease or financing instrument relating to the Franchised Restaurant; Franchisee shall not be in default beyond the applicable cure period with any vendor or supplier to the Franchised Restaurant; and, for the 12 months before the date of Franchisee's notice and the 12 months before the expiration of the Initial Term, Franchisee shall not have been in default beyond the applicable cure period under this Agreement or any other agreements between Franchisee and CJR or its affiliates.
- **(b)** Franchisee shall make the capital expenditures required to renovate and modernize the Franchised Restaurant to conform to the interior and exterior designs, decor, color schemes, furnishings and equipment and presentation of the Proprietary Marks consistent with the image of the System for new Carl's Jr. Restaurants at the time Franchisee provides CJR the renewal notice, including such structural changes, remodeling, redecoration and modifications to existing improvements as may be necessary to do so.
- **(c)** Franchisee and its employees at the Franchised Restaurant shall be in compliance with CJR's then-current training requirements.

![](_page_130_Picture_0.jpeg)

- **(d)** Franchisee shall have the right to remain in possession of the Franchised Location, or other premises acceptable to CJR, for the Renewal Term and all monetary obligations owed to Franchisee's landlord, if any, must be current.
- **(e)** Franchisee, all individuals who executed this Agreement and all guarantors of Franchisee's obligations shall have executed a general release and a covenant not to sue, in a form satisfactory to CJR, of any and all claims against CJR and its affiliates and their respective past and present officers, directors, managers, shareholders, members, agents and employees, in their corporate and individual capacities, including, without limitation, claims arising under federal, state and local laws, rules and ordinances, and claims arising out of, or relating to, this Agreement, any other agreements between Franchisee and CJR or its affiliates and Franchisee's operation of the Franchised Restaurant, other Carl's Jr. Restaurants operated by Franchisee and all other restaurants operated by Franchisee that are franchised by CJR or its affiliates.
- **(f)** As determined by CJR in its sole discretion, Franchisee has operated the Franchised Restaurant and all of its other franchised Carl's Jr. Restaurants in accordance with the applicable franchise agreements and with the System Standards (as set forth in the OPM or otherwise and as revised from time to time by CJR) and has operated each of its other restaurants that are franchised by CJR or its affiliates in accordance with the applicable franchise agreement and system standards.

Source: Item 22 — CONTRACTS (FDD pages 75–76)

Question 5

As of December 31, 2024, how many Merry Maids franchises, which are not related to Carls Jr., were there in the United States?

Accepted Answer

**Merry Maids** franchises residential house cleaning businesses under the Merry Maids® mark. Merry Maids' predecessor began business and started offering franchises in 1980. As of December 31, 2024, there were 796 Merry Maid franchises in the United States.

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–20)

Question 6

As of December 31, 2024, how many ServiceMaster Clean and ServiceMaster Restore franchises, which are not related to Carls Jr., were there in the United States?

Accepted Answer

heir franchisees in the United States, and/or Driven Brands may decide to offer franchises for AGN Repair Locations in the United States.

**ServiceMaster Systems LLC** is the direct parent company to three franchisors operating five franchise brands in the United States: Merry Maids SPE LLC ("**Merry Maids**"), ServiceMaster Clean/Restore SPE LLC ("**ServiceMaster**") and Two Men and a Truck SPE LLC ("**Two Men and a Truck**"). Merry Maids and ServiceMaster became Affiliated Programs through an acquisition in December 2020. Two Men and a Truck became an Affiliated Program through an acquisition on August 3, 2021.The three franchisors have a principal place of business at One Glenlake Parkway, Suite 1400, Atlanta, Georgia 30328 and have never offered franchises in any other line of business.

**Merry Maids** franchises residential house cleaning businesses under the Merry Maids® mark. Merry Maids' predecessor began business and started offering franchises in 1980. As of December 31, 2024, there were 796 Merry Maid franchises in the United States.

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–20)

Question 7

As of January 27, 2025, how many company-operated Carl's Jr. restaurants were there?

Accepted Answer

1, 2013. As of January 27, 2025, there were 50 company-operated Carl's Jr. restaurants and there were 982 domestic franchised Carl's Jr. restaurants, including 218 Dual Concept restaurants. Dual Concept Restaurants are quick service Carl's Jr. Restaurants that also offer certain Green Burrito Mexican food

![](_page_10_Picture_0.jpeg)

products. In addition, as of January 27, 2025, there were the following international franchised Carl's Jr. Restaurants: American Samoa – 1; Australia – 28; Cambodia – 6; Canada – 18; Chile – 28; Denmark – 16; Dominican Republic – 1; Ecuador – 26; France – 6; Guatemala – 4; India – 3; Japan – 4; Malaysia – 5; Mexico – 408; New Zealand – 18; Nicaragua – 4; Panama – 12; People's Republic of China – 4; Puerto Rico – 2; Russia – 17; Singapore – 4; Spain – 44; Switzerland – 3; and Turkey – 22. (American Samoa and Puerto Rico are considered to be international locations even though they are U.S. territories.) We do not engage in any other business or offer franchises in any other line of business.

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–20)

Question 8

How many Arby's restaurants, a brand related to Carls Jr. through common ownership, were operating in the United States as of December 29, 2024?

Accepted Answer

a principal place of business at Three Glenlake Parkway NE, Atlanta, Georgia 30328 and, other than as described below for Arby's, have not offered franchises in any other line of business.

**Arby's** is a franchisor of quick-serve restaurants operating under the Arby's® trade name and business system that feature slow-roasted, freshly sliced roasted beef and other deli-style sandwiches. In July 2011, Arby's became an Affiliated Program through an acquisition. Arby's has been franchising since 1965. Predecessors and former affiliates of Arby's have, in the past, offered franchises for other restaurant concepts including T.J. Cinnamons® stores that served gourmet baked goods. All of the T.J. Cinnamons locations have closed. As of December 29, 2024, there were 3,365 Arby's restaurants operating in the United States (2,286 franchised and 1,079 company-owned), including one multi-brand location. Additionally, as of December 29, 2024, there were 231 single-branded franchised Arby's restaurants operating internationally.

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–20)

Question 9

How many company-owned Arby's restaurants, a brand related to Carls Jr. through common ownership, were operating in the United States as of December 29, 2024?

Accepted Answer

Arby's has been franchising since 1965. Predecessors and former affiliates of Arby's have, in the past, offered franchises for other restaurant concepts including T.J. Cinnamons® stores that served gourmet baked goods. All of the T.J. Cinnamons locations have closed. As of December 29, 2024, there were 3,365 Arby's restaurants operating in the United States (2,286 franchised and 1,079 company-owned), including one multi-brand location. Additionally, as of December 29, 2024, there were 231 single-branded franchised Arby's restaurants operating internationally.

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–20)

Question 10

How many Carls Jr. franchisees listed have an address in La Palma, CA?

Accepted Answer

| Franchisee                            | Address                     | City           | State | Zip Code | Dual Concept | Phone      |
|---------------------------------------|-----------------------------|----------------|-------|----------|-----------------|------------|
| OC BURGER BOYS, LLC | 5012 LA PALMA | LA PALMA | CA | 90623 | N | 5629240988 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)

Question 11

How many Carls Jr. franchisees listed have the name 'BURGER BUDDIES LLC'?

Accepted Answer

| Franchisee                     | Address                      | City                   | State | Zip Code | Dual Concept | Phone      |
|--------------------------------|------------------------------|------------------------|-------|----------|-----------------|------------|
| BURGER BUDDIES LLC | 1208 MADERA RD | SIMI VALLEY | CA | 93065 | Y | 8055228627 |
| BURGER BUDDIES LLC | 5786 E LOS ANGELES AVENUE | SIMI VALLEY | CA | 93063 | N | 8055811162 |
| BURGER BUDDIES LLC | 5760 IMPERIAL HWY | SOUTH GATE | CA | 90280 | N | 5628615435 |
| BURGER BUDDIES LLC | 24715 PICO CANYON RD | STEVENSON RANCH | CA | 91381 | Y | 6612599098 |
| BURGER BUDDIES LLC | 14555 LAKEWOOD BLVD | PARAMOUNT | CA | 90723 | Y | 5624082299 |
| BURGER BUDDIES LLC | 16229 PARAMOUNT BLVD | PARAMOUNT | CA | 90723 | Y | 5625318662 |
| BURGER BUDDIES LLC | 9400 SLAUSON AVENUE | PICO RIVERA | CA | 90660 | N | 5629427681 |
| BURGER BUDDIES LLC | 1259 W CARSON ST | TORRANCE | CA | 90502 | Y | 3102127941 |
| BURGER BUDDIES LLC | 3971 ARTESIA BLVD | TORRANCE | CA | 90504 | N | 3102149288 |
| BURGER BUDDIES LLC | 411 SOUTH REINO ROAD | NEWBURY PARK | CA | 91320 | N | 8054990014 |
| BURGER BUDDIES LLC | 23320 LYONS AVENUE | NEWHALL | CA | 91321 | N | 6612556979 |
| BURGER BUDDIES LLC | 20425 NEWHALL AVE | NEWHALL | CA | 91321 | N | 6612599286 |
| BURGER BUDDIES LLC | 401 W LOS ANGELES AVENUE | MOORPARK | CA | 93021 | Y | 8055237034 |
| BURGER BUDDIES LLC | 1212 N BELLFLOWER BLVD | LONG BEACH | CA | 90815 | N | 5629851883 |
| BURGER BUDDIES LLC | 308 WESTWOOD PLAZA | LOS ANGELES | CA | 90095 | N | 3108241497 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)

Question 12

How many Carls Jr. franchisees listed in this table are located in Stockton, CA?

Accepted Answer

| Franchisee                     | Address                              | City          | State | Zip Code | Dual Concept | Phone      |
|--------------------------------|--------------------------------------|---------------|-------|----------|-----------------|------------|
| CJB RESTAURANTS, LLC | 9500 BRIMHALL RD | BAKERSFIELD | CA | 93312 | N | 6615874859 |
| CJB RESTAURANTS, LLC | 4520 COFFEE ROAD | BAKERSFIELD | CA | 93308 | N | 6615879085 |
| CJB RESTAURANTS, LLC | 3501 PANAMA LN | BAKERSFIELD | CA | 93313 | Y | 6618338414 |
| CJB RESTAURANTS, LLC | 4800 WHITE LANE | BAKERSFIELD | CA | 93309 | N | 6613989510 |
| CJB RESTAURANTS, LLC | 5555 GOSFORD RD | BAKERSFIELD | CA | 93309 | N | 6616651709 |
| CJB RESTAURANTS, LLC | 3520 ROSEDALE HIGHWAY | BAKERSFIELD | CA | 93308 | N | 6613232641 |
| CJB RESTAURANTS, LLC | 2400 WHITE LANE | BAKERSFIELD | CA | 93304 | N | 6618363181 |
| CJB RESTAURANTS, LLC | 101 S UNION AVE | BAKERSFIELD | CA | 93307 | N | 6618630273 |
| SENIOR CLASSIC | 14080 FRANCISQUITO | BALDWIN PARK | CA | 91706 | N | 6269622911 |
| LEASING, LLC |  |  |  |  |  |  |
| MURPHY'S STAR, INC. | 1888 W RAMSEY | BANNING | CA | 92220 | N | 9518495541 |
| MURPHY'S STAR, INC. | 300 S HIGHLAND SPRINGS AVE BLDG 4 | BANNING | CA | 92220 | N | 9517691378 |
| AKASH RESTAURANTS, | 1530 E MAIN STREET | BARSTOW | CA | 92311 | N | 7602568117 |
| LLC |  |  |  |  |  |  |
| AKASH RESTAURANTS, | 2856 LENWOOD ROAD | BARSTOW | CA | 92311 | N | 7602534846 |
| LLC |  |  |  |  |  |  |
| APRO, LLC | 5990 E. 2ND STREET | BENICIA | CA | 94510 | N | 7077459383 |
| CLK 2, LLC | 40050 WASHINGTON | BERMUDA DUNES | CA | 92203 | N | 7603455677 |
| CLK 5, LLC | PO BOX 1742 (41717 BIG BEAR BL) | BIG BEAR LAKE | CA | 92315 | N | 9098669672 |
| WILES' RESTAURANTS, |
768 N MAIN ST | BISHOP | CA | 93514 | N | 7608734090 |
| INC. |  |  |  |  |  |  |
| WEST COAST | 3610 S RIVERSIDE AVE | BLOOMINGTON | CA | 92316 | Y | 9518245199 |
| PETROLEUM, INC. |  |  |  |  |  |  |
| CLK 2, LLC | 160 S LOVEKIN | BLYTHE | CA | 92225 | N | 7609223500 |
| FRANCIECO., L.P. | 27201 BORON FRONTAGE | BORON | CA | 93516 | N | 6613856020 |
| CLK 5, LLC | 115 MAIN ST | BRAWLEY | CA | 92227 | N | 7603446363 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)

Question 13

How many Carls Jr. franchisees listed in this table operate dual concept locations?

Accepted Answer

| Franchisee                           | Address                       | City          | State | Zip Code | Dual Concept | Phone      |
|--------------------------------------|-------------------------------|---------------|-------|----------|-----------------|------------|
| SENIOR CLASSIC | 2030 MONTROSE | MONTROSE | CA | 91020 | N | 8182363804 |
| LEASING, LLC | AVENUE |  |  |  |  |  |
| BURGER BUDDIES LLC | 401 W LOS ANGELES AVENUE | MOORPARK | CA | 93021 | Y | 8055237034 |
| AKASH RESTAURANTS, | 16130 PERRIS BLVD | MORENO VALLEY | CA | 92551 | N | 9516010313 |
| LLC |  |  |  |  |  |  |
| CLK 3 D-S, LP | 27670 EUCALYPTUS AVE | MORENO VALLEY | CA | 92555 | N | 9516010421 |
| MURPHY'S STAR, INC. | 25055 ELDER AVE | MORENO VALLEY | CA | 92557 | N | 9512423916 |
| MURPHY'S STAR, INC. | 22580 CACTUS AVE | MORENO VALLEY | CA | 92553 | N | 9516537259 |
| MURPHY'S STAR, INC. | 22700 CENTERPOINT DR | MORENO VALLEY | CA | 92553 | N | 9516970310 |
| TRI STAR FOODS, LLC | 16995 CONDIT RD | MORGAN HILL | CA | 95037 | Y | 4087796411 |
| B & J, LLC | 40980 CALIFORNIA OAKS RD | MURRIETA | CA | 92562 | N | 9516778344 |
| B & J, LLC | 40375 MURRIETA HOT SPRINGS | MURRIETA | CA | 92563 | N | 9514610348 |
| B & J, LLC | 23761 WASHINGTON AVE | MURRIETA | CA | 92562 | N | 9518944775 |
| B & J, LLC | 28023 SCOTT RD | MURRIETA | CA | 92563 | N | 9516723814 |
| JLN ENTERPRISES, L.P. | 1631 IMOLA AVE | NAPA | CA | 94559 | N | 7072244750 |
| SDC RESTAURANTS LLC | 1280 PLAZA BLVD | NATIONAL CITY | CA | 91950 | N | 6194772068 |
| SDC RESTAURANTS LLC | 1502 SWEETWATER | NATIONAL CITY | CA | 91950 | N | 6194744382 |
| CLK 4, LLC | 2601 NEEDLES HWY | NEEDLES | CA | 92363 | N | 7603264476 |
| UNITED INVESTMENT | 39901 BALENTINE ROAD | NEWARK | CA | 94560 | N | 5106566022 |
| SOLUTIONS, INC. |  |  |  |  |  |  |
| UNITED INVESTMENT | 5670 THORNTON AVE | NEWARK | CA | 94560 | N | 5107976260 |
| SOLUTIONS, INC. |  |  |  |  |  |  |
| BURGER BUDDIES LLC | 411 SOUTH REINO ROAD | NEWBURY PARK | CA | 91320 | N | 8054990014 |
| Franchisee                       | Address                  | City          | State | Zip Code | Dual Concept | Phone      |
|----------------------------------|--------------------------|---------------|-------|----------|-----------------|------------|
| RWZ RESTAURANTS, LLC | 2505 E AVENUE S | PALMDALE | CA | 93550 | Y | 6612664928 |
| SENIOR CLASSIC | 14344 ROSCOE BLVD | PANORAMA CITY | CA | 91402 | N | 8188922712 |
| LEASING, LLC |  |  |  |  |  |  |
| BURGER BUDDIES LLC | 14555 LAKEWOOD BLVD | PARAMOUNT | CA | 90723 | Y | 5624082299 |
| BURGER BUDDIES LLC | 16229 PARAMOUNT BLVD | PARAMOUNT | CA | 90723 | Y | 5625318662 |
| DFG RESTAURANTS, INC. | 485 N ROSEMEAD BLVD | PASADENA | CA | 91107 | N | 6263511801 |
| SENIOR CLASSIC | 1465 E COLORADO | PASADENA | CA | 91106 | N | 6267957633 |
| LEASING, LLC | BLVD. |  |  |  |  |  |
| CENTRAL COAST STAR, | 2201 THEATRE DR | PASO ROBLES | CA | 93446 | N | 8052274732 |
| LLC |  |  |  |  |  |  |
| CENTRAL COAST STAR, | 2725 BLACK OAK DRIVE | PASO ROBLES | CA | 93446 | N | 8052384967 |
| LLC |  |  |  |  |  |  |
| MODESTO RESTAURANT | 65 ROGERS RD | PATTERSON | CA | 95363 | Y | 2098928383 |
| GROUP, LLC |  |  |  |  |  |  |
| MURPHY'S STAR, INC. | 736 RAMONA EXPRESSWAY | PERRIS | CA | 92570 | N | 9512639906 |
| BURGER BUDDIES LLC | 9400 SLAUSON AVENUE | PICO RIVERA | CA | 90660 | N | 5629427681 |
| HUNDAL FOODS, INC. | 1550 FITZGERALD DRIVE | PINOLE | CA | 94564 | N | 5102232562 |
| WOMAR, INCORPORATED | 4595 CENTURY BLVD | PITTSBURG | CA | 94565 | N | 9257545423 |
| OC BURGER BOYS, LLC | 750 N ROSE DRIVE | PLACENTIA | CA | 92870 | N | 7145248770 |
| BTO INVESTMENTS | 93 FAIR LN | PLACERVILLE | CA | 95667 | N | 5306263542 |
| Franchisee                            | Address                      | City           | State | Zip Code | Dual Concept | Phone      |
|---------------------------------------|------------------------------|----------------|-------|----------|-----------------|------------|
| B & J, LLC | 33125 TEMECULA PKWY | TEMECULA | CA | 92592 | N | 9513022514 |
| BERNARD KARCHER | 44515 BEDFORD CT | TEMECULA | CA | 92592 | N | 9516949196 |
| INVESTMENTS, INC. |  |  |  |  |  |  |
| HARSHAD & NASIR | 9803 E. LAS TUNAS | TEMPLE CITY | CA | 91780 | N | 6262852881 |
| CORPORATION |  |  |  |  |  |  |
| ATJ&B LLC | 1384 MOORPARK ROAD | THOUSAND OAKS | CA | 91360 | Y | 8054957779 |
| CLK 4, LLC | 72-305 VARNER RD | THOUSAND PALMS | CA | 92276 | N | 7603432252 |
| BURGER BUDDIES LLC | 1259 W CARSON ST | TORRANCE | CA | 90502 | Y | 3102127941 |
| BURGER BUDDIES LLC | 3971 ARTESIA BLVD | TORRANCE | CA | 90504 | N | 3102149288 |
| OC BURGER BOYS, LLC | 2210 W REDONDO BEACH BLVD | TORRANCE | CA | 90504 | Y | 3103231472 |
| OC BURGER BOYS, LLC | 21112 ANZA AVE | TORRANCE | CA | 90503 | N | 3103711586 |
| PALISADES RESTAURANT | 24010 HAWTHORNE | TORRANCE | CA | 90505 | N | 3103752844 |
| GROUP INC. | BLVD |  |  |  |  |  |
| PALISADES RESTAURANT | 1360 W 190TH ST | TORRANCE | CA | 90501 | N | 3106181008 |
| GROUP INC. |  |  |  |  |  |  |
| MODESTO RESTAURANT | 1963 TRACY BLVD | TRACY | CA | 95376 | N | 2098362400 |
| GROUP, LLC |  |  |  |  |  |  |
| SBV PARTNERS, A | 2380 W GRANT LINE RD | TRACY | CA | 95377 | N | 2098355494 |
| PARTNERSHIP |  |  |  |  |  |  |
| CENTRAL CALIFORNIA | 85 S TOWER SQ | TULARE | CA | 93274 | Y | 5596885638 |
| CONNECTION, LLC |  |  |  |  |  |  |
| CENTRAL CALIFORNIA | 1527 HILLMAN | TULARE | CA | 93274 | Y | 5596878127 |
| CONNECTION, LLC |  |  |  |  |  |  |
| THE CHOWCHILLA | 100 N WALNUT RD | TURLOCK | CA | 95380 | Y | 2096328141 |
| CONNECTION, LLC |  |  |  |  |  |  |
| THE CHOWCHILLA | 2980 GEER RD | TURLOCK | CA | 95382 | Y | 2096682749 |
| CONNECTION, LLC |  |  |  |  |  |  |
| OC BURGER BOYS, LLC | 14041 NEWPORT BLVD | TUSTIN | CA | 92780 | N | 7145449982 |
| Franchisee                            | Address                   | City            | State | Zip Code | Dual Concept | Phone      |
|---------------------------------------|---------------------------|-----------------|-------|----------|-----------------|------------|
| OC BURGER BOYS, LLC | 17085 BROOKHURST ST | FOUNTAIN VALLEY | CA | 92708 | N | 7149650293 |
| OC BURGER BOYS, LLC | 16101 HARBOR BLVD | FOUNTAIN VALLEY | CA | 92708 | Y | 7148398506 |
| CENTRAL CALIFORNIA | 326 E MERCED ST | FOWLER | CA | 93625 | Y | 5598342486 |
| CONNECTION, LLC |  |  |  |  |  |  |
| TRI STAR FOODS, LLC | 1901 FREEDOM BLVD | FREEDOM | CA | 95019 | Y | 8317226920 |
| UNITED INVESTMENT | 37000 FREMONT | FREMONT | CA | 94536 | N | 5104932359 |
| SOLUTIONS, INC. |  |  |  |  |  |  |
| UNITED INVESTMENT | 46637 MISSION BLVD | FREMONT | CA | 94539 | N | 5106567642 |
| SOLUTIONS, INC. |  |  |  |  |  |  |
| TWM/FRESNO, LLC | 3983 N BLACKSTONE | FRESNO | CA | 93726 | N | 5592252428 |
| TWM/FRESNO, LLC | 217 N ABBY | FRESNO | CA | 93701 | N | 5592680069 |
| TWM/FRESNO, LLC | 5275 W SHAW AVE | FRESNO | CA | 93722 | Y | 5592756526 |
| TWM/FRESNO, LLC | 1588 N FIRST STREET | FRESNO | CA | 93703 | Y | 5594851705 |
| TWM/FRESNO, LLC | 6767 N FIRST ST | FRESNO | CA | 93710 | Y | 5594321477 |
| TWM/FRESNO, LLC | 5007 E. MCKINLEY | FRESNO | CA | 93727 | N | 5592514500 |
| TWM/FRESNO, LLC | 3820 N CEDAR AVE | FRESNO | CA | 93726 | Y | 5592250288 |
| TWM/FRESNO, LLC | 2590 SOUTH EAST AVENUE | FRESNO | CA | 93706 | Y | 5592378113 |
| TWM/FRESNO, LLC | 3092 WEST SHAW AVENUE | FRESNO | CA | 93711 | N | 5592760196 |
| Franchisee                        | Address                     | City                   | State | Zip Code | Dual Concept | Phone      |
|-----------------------------------|-----------------------------|------------------------|-------|----------|-----------------|------------|
| SDC RESTAURANTS LLC | 614 DENNERY ROAD | SAN DIEGO | CA | 92154 | N | 6196621447 |
| AKASH RESTAURANTS, | 698 W ARROW HWY | SAN DIMAS | CA | 91773 | N | 9095927265 |
| LLC |  |  |  |  |  |  |
| SENIOR CLASSIC | 11509 LAUREL CANYON | SAN FERNANDO | CA | 91340 | N | 8183655587 |
| LEASING, LLC | BLVD |  |  |  |  |  |
| TWM INDUSTRIES, LP | 1 HALLIDIE PLAZA | SAN FRANCISCO | CA | 94102 | N | 4153915799 |
| SENIOR CLASSIC | 1900 SAN GABRIEL | SAN GABRIEL | CA | 91776 | N | 6265738480 |
| LEASING, LLC | BLVD |  |  |  |  |  |
| SENIOR CLASSIC | 505 W LAS TUNAS | SAN GABRIEL | CA | 91776 | N | 6262899323 |
| LEASING, LLC | DRIVE |  |  |  |  |  |
| CLK DESERT STAR, LP | 1171 N STATE ST | SAN JACINTO | CA | 92583 | N | 9516543642 |
| TRI STAR FOODS, LLC | 1346 SARATOGA AVENUE | SAN JOSE | CA | 95129 | N | 4082466966 |
| TRI STAR FOODS, LLC | 2802 S WHITE RD | SAN JOSE | CA | 95148 | N | 4082383821 |
| TRI STAR FOODS, LLC | 172 BERNAL RD | SAN JOSE | CA | 95119 | N | 4082255300 |
| TRI STAR FOODS, LLC | 1101 BRANHAM LN | SAN JOSE | CA | 95118 | N | 4089783562 |
| TRI STAR FOODS, LLC | 655 COLEMAN AVE | SAN JOSE | CA | 95110 | N | 4082925240 |
| UNITED INVESTMENT SOLUTIONS, INC. | 1095 OLD OAKLAND ROAD | SAN JOSE | CA | 95112 | N | 4089209611 |
| WILES' RESTAURANTS, INC. | 31852 DEL OBISPO ST | SAN JUAN CAPISTRANO | CA | 92675 | N | 9494939661 |
| CENTRAL COAST STAR, | 3980 BROAD STREET | SAN LUIS OBISPO | CA | 93401 | N | 8057880510 |
| LLC |  |  |  |  |  |  |
| Franchisee                            | Address                     | City                  | State | Zip Code | Dual Concept | Phone      |
|---------------------------------------|-----------------------------|-----------------------|-------|----------|-----------------|------------|
| BERNARD KARCHER | 23740 TEMESCAL | CORONA | CA | 92883 | N | 9512772619 |
| INVESTMENTS, INC. | CANYON RD |  |  |  |  |  |
| OC BURGER BOYS, LLC | 1550 ADAMS BLVD | COSTA MESA | CA | 92626 | N | 7145454194 |
| SENIOR CLASSIC | 573 N AZUSA AVE | COVINA | CA | 91722 | N | 6263312064 |
| LEASING, LLC |  |  |  |  |  |  |
| OC BURGER BOYS, LLC | 6947 KATELLA AVE | CYPRESS | CA | 90630 | N | 7142204977 |
| TWM INDUSTRIES, LP | 2434 JUNIPERO SERRA BLVD | DALY CITY | CA | 94015 | Y | 6509949009 |
| WILES' RESTAURANTS, | 34312 PACIFIC COAST | DANA POINT | CA | 92629 | N | 9496613955 |
| INC. | HWY |  |  |  |  |  |
| AMS RESTAURANTS, LLC | 1701 COWELL BLVD | DAVIS | CA | 95681 | N | 5307561626 |
| KRP STAR, LP | 612 CECIL AVE | DELANO | CA | 93215 | N | 6617212106 |
| CLK 2, LLC | 13010 PALM DR | DESERT HOT SPRINGS | CA | 92240 | N | 7603290120 |
| SENIOR CLASSIC | 141 S DIAMOND BAR | DIAMOND BAR | CA | 91765 | N | 9098617136 |
| LEASING, LLC | BLVD |  |  |  |  |  |
| CENTRAL CALIFORNIA | 904 W EL MONTE WAY | DINUBA | CA | 93618 | Y | 5595959137 |
| CONNECTION, LLC |  |  |  |  |  |  |
| STRZ4US, INC. | 125 GATEWAY PLZ | DIXON | CA | 95620 | N | 7076781372 |
| BURGER BUDDIES LLC | 7200 FIRESTONE BLVD | DOWNEY | CA | 90241 | Y | 5629270129 |
| OC BURGER BOYS, LLC | 9110 IMPERIAL HIGHWAY | DOWNEY | CA | 90242 | Y | 5629237446 |
| SENIOR CLASSIC | 1302 HUNTINGTON | DUARTE | CA | 91010 | N | 6263036319 |
| LEASING, LLC | DRIVE |  |  |  |  |  |
| HARSHAD & NASIR | 5633 N. WHITTIER BLVD. | EAST LOS ANGELES | CA | 90022 | N | 3237245488 |
| CORPORATION |  |  |  |  |  |  |
| SDC RESTAURANTS LLC | 624 FLETCHER PKWY | EL CAJON | CA | 92020 | N | 6194475452 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)

Question 14

How many Carls Jr. franchises are listed for ATJ&B LLC in Riverside, CA?

Accepted Answer

| Franchisee                        | Address                     | City               | State | Zip Code | Dual Concept | Phone      |
|-----------------------------------|-----------------------------|--------------------|-------|----------|-----------------|------------|
| ATJ&B LLC | 3483 MADISON STREET | RIVERSIDE | CA | 92504 | N | 9513518792 |
| ATJ&B LLC | 6079 MAGNOLIA AVE | RIVERSIDE | CA | 92506 | N | 9513693114 |
| BERNARD KARCHER INVESTMENTS, INC. | 8919 LIMONITE AVE | RIVERSIDE | CA | 92509 | N | 9516813970 |
| MURPHY'S STAR, INC. | 5225 CANYON CREST DR | RIVERSIDE | CA | 92507 | N | 9516841311 |
| AMS RESTAURANTS, LLC | 6608 LONETREE BLVD | ROCKLIN | CA | 95765 | Y | 9167821755 |

| Franchisee                            | Address                    | City          | State | Zip Code | Dual Concept | Phone      |
|---------------------------------------|----------------------------|---------------|-------|----------|-----------------|------------|
| AKASH RESTAURANTS, | 4240 RIVERWALK PKWY | RIVERSIDE | CA | 92505 | N | 9513519706 |
| LLC |  |  |  |  |  |  |
| AKASH RESTAURANTS, | 10100 BEN NEVIS BLVD | RIVERSIDE | CA | 92509 | Y | 9513601249 |
| LLC |  |  |  |  |  |  |
| AKASH RESTAURANTS, | 2940 VAN BUREN BLVD. | RIVERSIDE | CA | 92503 | N | 9099739041 |
| LLC |  |  |  |  |  |  |
| ATJ&B LLC | 1250 UNIVERSITY AVE | RIVERSIDE | CA | 92507 | Y | 9516863745 |
| ATJ&B LLC | 10010 MAGNOLIA | RIVERSIDE | CA | 92503 | Y | 9516889300 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)

Question 15

How many of the listed Carls Jr. franchisees operate a dual concept location?

Accepted Answer

| Franchisee                       | Address                  | City          | State | Zip Code | Dual Concept | Phone      |
|----------------------------------|--------------------------|---------------|-------|----------|-----------------|------------|
| RWZ RESTAURANTS, LLC | 2505 E AVENUE S | PALMDALE | CA | 93550 | Y | 6612664928 |
| SENIOR CLASSIC | 14344 ROSCOE BLVD | PANORAMA CITY | CA | 91402 | N | 8188922712 |
| LEASING, LLC |  |  |  |  |  |  |
| BURGER BUDDIES LLC | 14555 LAKEWOOD BLVD | PARAMOUNT | CA | 90723 | Y | 5624082299 |
| BURGER BUDDIES LLC | 16229 PARAMOUNT BLVD | PARAMOUNT | CA | 90723 | Y | 5625318662 |
| DFG RESTAURANTS, INC. | 485 N ROSEMEAD BLVD | PASADENA | CA | 91107 | N | 6263511801 |
| SENIOR CLASSIC | 1465 E COLORADO | PASADENA | CA | 91106 | N | 6267957633 |
| LEASING, LLC | BLVD. |  |  |  |  |  |
| CENTRAL COAST STAR, | 2201 THEATRE DR | PASO ROBLES | CA | 93446 | N | 8052274732 |
| LLC |  |  |  |  |  |  |
| CENTRAL COAST STAR, | 2725 BLACK OAK DRIVE | PASO ROBLES | CA | 93446 | N | 8052384967 |
| LLC |  |  |  |  |  |  |
| MODESTO RESTAURANT | 65 ROGERS RD | PATTERSON | CA | 95363 | Y | 2098928383 |
| GROUP, LLC |  |  |  |  |  |  |
| MURPHY'S STAR, INC. | 736 RAMONA EXPRESSWAY | PERRIS | CA | 92570 | N | 9512639906 |
| BURGER BUDDIES LLC | 9400 SLAUSON AVENUE | PICO RIVERA | CA | 90660 | N | 5629427681 |
| HUNDAL FOODS, INC. | 1550 FITZGERALD DRIVE | PINOLE | CA | 94564 | N | 5102232562 |
| WOMAR, INCORPORATED | 4595 CENTURY BLVD | PITTSBURG | CA | 94565 | N | 9257545423 |
| OC BURGER BOYS, LLC | 750 N ROSE DRIVE | PLACENTIA | CA | 92870 | N | 7145248770 |
| BTO INVESTMENTS | 93 FAIR LN | PLACERVILLE | CA | 95667 | N | 5306263542 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)

Question 16

How many Carls Jr. locations listed are dual concept restaurants?

Accepted Answer

| Franchisee                     | Address                     | City        | State | Zip Code | Dual Concept | Phone      |
|--------------------------------|-----------------------------|-------------|-------|----------|-----------------|------------|
| OC BURGER BOYS, LLC | 639 N. SEPULVEDA BLVD. | EL SEGUNDO | CA | 90245 | Y | 3103221318 |
| TWM-VFR | 1140 TRITON DRIVE | FOSTER CITY | CA | 94404 | Y | 6503491221 |
| Franchisee                                             | Address                       | City          | State | Zip Code | Dual Concept | Phone      |
|--------------------------------------------------------|-------------------------------|---------------|-------|----------|-----------------|------------|
| THE CHOWCHILLA | 1600 BELL LN | ATWATER | CA | 95301 | Y | 2093582567 |
| CONNECTION, LLC |  |  |  |  |  |  |
| CJB RESTAURANTS, LLC | 9000 MING AVE | BAKERSFIELD | CA | 93311 | Y | 6616652396 |
| CJB RESTAURANTS, LLC | 3901 AUBURN AVENUE | BAKERSFIELD | CA | 93306 | Y | 6618715152 |
| Franchisee                         | Address                         | City          | State | Zip Code | Dual Concept | Phone      |
|------------------------------------|---------------------------------|---------------|-------|----------|-----------------|------------|
| THE CHOWCHILLA | 1551 W PACHECO BLVD | LOS BANOS | CA | 93635 | Y | 2098274533 |
| CONNECTION, LLC |  |  |  |  |  |  |
| THE CHOWCHILLA | 1941 E PACHECO BLVD | LOS BANOS | CA | 93635 | Y | 2098273567 |
| CONNECTION, LLC |  |  |  |  |  |  |
| THE CHOWCHILLA | 301 S. MADERA AVE. | MADERA | CA | 93637 | Y | 5596747863 |
| CONNECTION, LLC |  |  |  |  |  |  |
| THE CHOWCHILLA | 1305 COUNTRY CLUB | MADERA | CA | 93638 | Y | 5596749772 |
| CONNECTION, LLC | DRIVE |  |  |  |  |  |
| MANTECA STAR, LLC | 990 N MAIN ST | MANTECA | CA | 95336 | Y | 2092395851 |
| MANTECA STAR, LLC | 1465 W YOSEMITE AVE | MANTECA | CA | 95337 | Y | 2092397705 |
| MANTECA STAR, LLC | 1489 HULSEY WAY | MANTECA | CA | 95336 | Y | 2098257190 |
| Franchisee                       | Address                   | City               | State | Zip Code | Dual Concept | Phone      |
|----------------------------------|---------------------------|--------------------|-------|----------|-----------------|------------|
| MODESTO RESTAURANT | 4437 HOWARD RD | WESTLEY | CA | 95387 | Y | 2098943777 |
| GROUP, LLC |  |  |  |  |  |  |
| OC BURGER BOYS, LLC | 13425 BEACH BLVD | WESTMINSTER | CA | 92683 | Y | 7149015513 |
| OC BURGER BOYS, LLC | 6751 WESTMINSTER BLVD | WESTMINSTER | CA | 92683 | Y | 7148928214 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)

Question 17

How many Carls Jr. locations are listed for KB RESTAURANTS, INC. in this table?

Accepted Answer

| Franchisee            | Address                   | City          | State | Zip Code | Dual Concept | Phone    |
|-----------------------|---------------------------|---------------|-------|----------|-----------------|----------|
| KB RESTAURANTS, INC. | 575 SE 10TH AVE | HILLSBORO | OR | 97123 | N | 5.04E+09 |
| KB RESTAURANTS, INC. | 7120 NE CORNELL RD | HILLSBORO | OR | 97124 | N | 5.04E+09 |
| KB RESTAURANTS, INC. | 2175 NW TOWN CENTER DR | HILLSBORO | OR | 97006 | N | 5.04E+09 |
| KB RESTAURANTS, INC. | 1285 SW BOOTH BEND RD | MCMINNVILLE | OR | 97128 | N | 5.03E+09 |
| KB RESTAURANTS, INC. | 19761 HIGHWAY 213 | OREGON CITY | OR | 97045 | N | 5.04E+09 |
| KB RESTAURANTS, INC. | 1403 NE 102ND AVE | PORTLAND | OR | 97220 | N | 5.03E+09 |
| KB RESTAURANTS, INC. | 8205 S. E. RHINE | PORTLAND | OR | 97266 | N | 5.04E+09 |
| KB RESTAURANTS, INC. | 14836 S. E. DIVISION | PORTLAND | OR | 97236 | N | 5.04E+09 |
| KB RESTAURANTS, INC. | 10100 SE 82ND AVE | PORTLAND | OR | 97086 | N | 5.41E+09 |
| KB RESTAURANTS, INC. | 17929 SW MCEWAN RD | PORTLAND | OR | 97224 | N | 5.04E+09 |
| KB RESTAURANTS, INC. | 1762 NE 181ST AVE | PORTLAND | OR | 97230 | N | 5.04E+09 |
| KB RESTAURANTS, INC. | 250 NE COLUMBIA BLVD | PORTLAND | OR | 97211 | N | 5.03E+09 |

| Franchisee                     | Address                             | City          | State | Zip Code | Dual Concept | Phone      |
|--------------------------------|-------------------------------------|---------------|-------|----------|-----------------|------------|
| KB RESTAURANTS, INC. | 14495 SW TUALATIN VALLEY HIGHWAY | BEAVERTON | OR | 97005 | N | 5.04E+09 |
| KB RESTAURANTS, INC. | 1463 SE 1ST | CANBY | OR | 97013 | N | 5.03E+09 |
| KB RESTAURANTS, INC. | 116 W BASELINE STREET | CORNELIUS | OR | 97113 | N | 9.71E+09 |
| KB RESTAURANTS, INC. | 1678 N E BURNSIDE ST | GRESHAM | OR | 97030 | N | 5.03E+09 |
| KB RESTAURANTS, INC. | 14665 SE SUNNYSIDE RD | HAPPY VALLEY | OR | 97086 | N | 5.03E+09 |
| KB RESTAURANTS, INC. | 6653 SE TUALATIN VALLEY HWY | HILLSBORO | OR | 97123 | N | 5.04E+09 |

| Franchisee                    | Address                            | City         | State | Zip Code | Dual Concept | Phone      |
|-------------------------------|------------------------------------|--------------|-------|----------|-----------------|------------|
| KB RESTAURANTS, INC. | 12140 SW SCHOLLS FERRY ROAD | TIGARD | OR | 97223 | N | 5.04E+09 |
| KB RESTAURANTS, INC. | 15520 SW PACIFIC HIGHWAY | TIGARD | OR | 97224 | N | 5.04E+09 |
| KB RESTAURANTS, INC. | 11433 SW PACIFIC HWY | TIGARD | OR | 97223 | N | 5.04E+09 |
| KB RESTAURANTS, INC. | 8703 S.W. TUALATIN SHERWOOD HWY | TUALATIN | OR | 97062 | N | 5.04E+09 |
| KB RESTAURANTS, INC. | 25300 SW 95TH AVE | WILSONVILLE | OR | 97070 | N | 5.03E+09 |
| KB RESTAURANTS, INC. | 22667 NE GLISAN ST | WOOD VILLAGE | OR | 97060 | N | 5.04E+09 |

| Franchisee            | Address                    | City           | State | Zip Code | Dual Concept | Phone      |
|-----------------------|----------------------------|----------------|-------|----------|-----------------|------------|
| KB RESTAURANTS, INC. | 9016 NE HIGHWAY 99 | VANCOUVER | WA | 98665 | N | 3605749200 |
| KB RESTAURANTS, INC. | 7412 NE 117TH AVE | VANCOUVER | WA | 98662 | N | 3602567041 |
| KB RESTAURANTS, INC. | 160 NE 192nd AVE | VANCOUVER | WA | 98683 | N | 5642330220 |
| KB RESTAURANTS, INC. | 1404 SE 164TH AVE | VANCOUVER | WA | 98683 | N | 3608916031 |
| KB RESTAURANTS, INC. | 1519 PACIFIC AVE | WOODLAND | WA | 98674 | N | 3608418089 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)

Question 18

How many Carls Jr. locations are listed for 'MODESTO RESTAURANT GROUP, LLC'?

Accepted Answer

| Franchisee                       | Address                  | City                | State | Zip Code | Dual Concept | Phone      |
|----------------------------------|--------------------------|---------------------|-------|----------|-----------------|------------|
| MODESTO RESTAURANT | 2420 MITCHELL RD | CERES | CA | 95307 | N | 2095372277 |
| GROUP, LLC |  |  |  |  |  |  |
| MODESTO RESTAURANT | 2808 MCHENRY AVE | MODESTO | CA | 95350 | N | 2095776009 |
| GROUP, LLC |  |  |  |  |  |  |
| MODESTO RESTAURANT | 4125 SISK AVE | MODESTO | CA | 95356 | Y | 2095452796 |
| GROUP, LLC |  |  |  |  |  |  |
| MODESTO RESTAURANT | 1600 OAKDALE RD | MODESTO | CA | 95355 | N | 2095510921 |
| GROUP, LLC |  |  |  |  |  |  |
| MODESTO RESTAURANT | 1643 E HATCH RD | MODESTO | CA | 95351 | N | 2095372275 |
| GROUP, LLC |  |  |  |  |  |  |
| MODESTO RESTAURANT | 118 E WHITMORE AVE | MODESTO | CA | 95358 | Y | 2095374763 |
| GROUP, LLC |  |  |  |  |  |  |
| MODESTO RESTAURANT | 65 ROGERS RD | PATTERSON | CA | 95363 | Y | 2098928383 |
| GROUP, LLC |  |  |  |  |  |  |
| MODESTO RESTAURANT | 200 E LOUISE AVE | LATHROP | CA | 95330 | Y | 2098584894 |
| GROUP, LLC |  |  |  |  |  |  |
| MODESTO RESTAURANT | 4437 HOWARD RD | WESTLEY | CA | 95387 | Y | 2098943777 |
| GROUP, LLC |  |  |  |  |  |  |
| MODESTO RESTAURANT | 1963 TRACY BLVD | TRACY | CA | 95376 | N | 2098362400 |
| GROUP, LLC |  |  |  |  |  |  |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)

Question 19

How many Carls Jr. locations are listed for 'BY THE RIO, LLC' in the provided table?

Accepted Answer

05 CAMPUS DR | COLORADO SPRINGS | CO | 80920 | N | 7195320630 |
| HAFEMEISTER, JAMES | 1059 SPACE CENTER DR | COLORADO SPRINGS | CO | 80915 | Y | 7196387247 |
| HAFEMEISTER, JAMES | 6090 STETSON HILLS BLVD | COLORADO SPRINGS | CO | 80923 | N | 7196371209 |
| HAFEMEISTER, JAMES | 13315 VOYAGER PKWY | COLORADO SPRINGS | CO | 80921 | N | 7194812300 |
| HAFEMEISTER, JAMES | 2360 N ACADEMY BLVD | COLORADO SPRINGS | CO | 80909 | N | 7195594590 |
![](_page_288_Picture_0.jpeg)

| Franchisee         | Address                     | City                | State | Zip Code | Dual Concept | Phone      |
|--------------------|-----------------------------|---------------------|-------|----------|-----------------|------------|
| HAFEMEISTER, JAMES | 4626 FRESHWATER POINT | COLORADO SPRINGS | CO | 80924 | N | 7193751400 |
| BY THE RIO, LLC | 5998 DAHLIA ST | COMMERCE CITY | CO | 80022 | N | 3032871820 |
| BY THE RIO, LLC | 4730 TOWER RD | DENVER | CO | 80249 | N | 3033071770 |
| BY THE RIO, LLC | 4050 COLORADO BLVD | DENVER | CO | 80216 | N | 7209416311 |
| HAFEMEISTER, JAMES | 11655 MERIDIAN MARKET VW | FALCON | CO | 80831 | N | 7198864914 |
| BY THE RIO, LLC | 4238 UNION ST | FIRESTONE | CO | 80504 | N | 3036849412 |
| BY THE RIO, LLC | 502 E MAIN ST | FLORENCE | CO | 81226 | N | 7197844600 |
| BY THE RIO, LLC | 421 COWAN ST | FORT COLLINS | CO | 80524 | N | 9704849139 |
| HAFEMEISTER, JAMES | 7945 FOUNTAIN MESA RD | FOUNTAIN | CO | 80817 | Y | 7193220255 |
| BY THE RIO, LLC | 2842 NORTH AVE | GRAND JUNCTION | CO | 81501 | N | 9702459555 |
| FRANCIECO., L.P. | 748 22 RD | GRAND JUNCTION | CO | 81505 | N | 9702411563 |
| BY THE RIO, LLC | 2555 11TH AVE | GREELEY | CO | 80631 | N | 9703569611 |
| BY THE RIO, LLC | 720 10TH ST | GREELEY | CO | 80631 | N | 9703529522 |
| BY THE RIO, LLC | 201 E BISON WAY | HUDSON | CO | 80642 | N | 3035364080 |
| BY THE RIO, LLC | 2901 COLORADO BLVD | IDAHO SPRINGS | CO | 80452 | N | 3032544700 |
| BY THE RIO, LLC | 500 W FIRST ST | LA JUNTA | CO | 81050 | N | 7193849618 |
| BY THE RIO, LLC | 5821 W 44TH ST | LAKESIDE | CO | 80212 | N | 7204798046 |
| BY THE RIO, LLC | 497 S WADSWORTH | LAKEWOOD | CO | 80226 | N | 3037169200 |
| BY THE RIO, LLC | 13420 W COAL MINE AVE | LITTLETON | CO | 80127 | N | 3038650090 |
| BY THE RIO, LLC | 1754 HOVER ST | LONGMONT | CO | 80501 | N | 3037766215 |
| BY THE RIO, LLC | 1340 N CLEVELAND AVE | LOVELAND | CO | 80537 | N | 9706692922 |
| BY THE RIO, LLC | 4140 CLYDESDALE PKWY | LOVELAND | CO | 80538 | N | 9706635306 |
| BY THE RIO, LLC | 12987 S PARKER RD | PARKER | CO | 80134 | N | 3038401500 |
| BY THE RIO, LLC | 12165 LIONESS WAY | PARKER | CO | 80134 | N | 3037994605 |
| BY THE RIO, LLC | 102 S SANTA FE AVE | PUEBLO | CO | 81003 | N | 7195449618 |
![](_page_289_Picture_0.jpeg)

| Franchisee                       | Address                    | City          | State | Zip Code | Dual Concept | Phone      |
|----------------------------------|----------------------------|---------------|-------|----------|-----------------|------------|
| BY THE RIO, LLC | 915 W US HIGHWAY 50 | PUEBLO | CO | 81008 | N | 7195430606 |
| BY THE RIO, LLC | 1759 S PUEBLO BLVD | PUEBLO | CO | 81005 | N | 7195667958 |
| BY THE RIO, LLC | 72 N MCCULLOCH BLVD | PUEBLO WEST | CO | 81007 | N | 7195479991 |
| BY THE RIO, LLC | 4080 RIVER POINT PKWY | SHERIDAN | CO | 80110 | N | 3037619005 |
| BY THE RIO, LLC | 4211 E. 104TH AVE | THORNTON | CO | 80233 | N | 3032552062 |
| BY THE RIO, LLC | 700 S MAIN ST | WALSENBURG | CO | 81089 | N | 7197381002 |
| BY THE RIO, LLC | 13630 ORCHARD PKWY. | WESTMINSTER | CO | 80023 | N | 3032551833 |
| RSMG HOLDING, LLC | 5755 NW 87th Ave. | DORAL | FL | 33166 | N | 7865584115 |
| MERRILL FINANCIAL | 2140 NO.

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)

Question 20

How many Carls Jr. locations are listed for SDC RESTAURANTS LLC in Chula Vista, CA?

Accepted Answer

| Franchisee                       | Address                  | City                | State | Zip Code | Dual Concept | Phone      |
|----------------------------------|--------------------------|---------------------|-------|----------|-----------------|------------|
| SDC RESTAURANTS LLC | 996 THIRD AVE | CHULA VISTA | CA | 91911 | N | 6194266786 |
| SDC RESTAURANTS LLC | 2097 OLYMPIC PKWY | CHULA VISTA | CA | 91915 | N | 6194219257 |
| SDC RESTAURANTS LLC | 695 H ST | CHULA VISTA | CA | 91910 | N | 6194764420 |
| SDC RESTAURANTS LLC | 1100 BROADWAY | CHULA VISTA | CA | 91911 | N | 6194261609 |
| SDC RESTAURANTS LLC | 1487 E H ST | CHULA VISTA | CA | 91910 | N | 6194822210 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)

Question 21

How many Carls Jr. locations listed in this table for California are dual concept restaurants?

Accepted Answer

| Franchisee                            | Address                     | City           | State | Zip Code | Dual Concept | Phone      |
|---------------------------------------|-----------------------------|----------------|-------|----------|-----------------|------------|
| TWM/FRESNO, LLC | 15005 W WHITESBRIDGE AVE | KERMAN | CA | 93630 | Y | 5598466871 |
| CENTRAL CALIFORNIA | 949 SIERRA STREET | KINGSBURG | CA | 93631 | Y | 5598978719 |
| ATJ&B LLC | 701 S BEACH BLVD | LA HABRA | CA | 90631 | Y | 5626942808 |
| ATJ&B LLC | 1384 MOORPARK ROAD | THOUSAND OAKS | CA | 91360 | Y | 8054957779 |
| BURGER BUDDIES LLC | 1259 W CARSON ST | TORRANCE | CA | 90502 | Y | 3102127941 |
| OC BURGER BOYS, LLC | 2210 W REDONDO BEACH BLVD | TORRANCE | CA | 90504 | Y | 3103231472 |
| CENTRAL CALIFORNIA | 85 S TOWER SQ | TULARE | CA | 93274 | Y | 5596885638 |
| CENTRAL CALIFORNIA | 1527 HILLMAN | TULARE | CA | 93274 | Y | 5596878127 |
| THE CHOWCHILLA | 100 N WALNUT RD | TURLOCK | CA | 95380 | Y | 2096328141 |
| THE CHOWCHILLA | 2980 GEER RD | TURLOCK | CA | 95382 | Y | 2096682749 |
| CENTRAL CALIFORNIA | 810 N REED AVE | REEDLEY | CA | 93654 | Y | 5596385413 |
| MANTECA STAR, LLC | 1410 COLONY RD | RIPON | CA | 95366 | Y | 2095999222 |
| AKASH RESTAURANTS, | 4240 RIVERWALK PKWY | RIVERSIDE | CA | 92505 | Y | 9513519706 |
| LLC |
| ATJ&B LLC | 1250 UNIVERSITY AVE | RIVERSIDE | CA | 92507 | Y | 9516863745 |
| ATJ&B LLC | 10010 MAGNOLIA | RIVERSIDE | CA | 92503 | Y | 9516889300 |
| NEW HORIZON FOODS, | 1610 W FOOTHILL BLVD | UPLAND | CA | 91786 | Y | 9099493069 |
| LLC |
| CENTRAL CALIFORNIA | 1336 E MAIN STREET | VISALIA | CA | 93292 | Y | 5597334172 |
| CENTRAL CALIFORNIA | 3350 S MOONEY | VISALIA | CA | 93277 | Y | 5597334465 |
| CENTRAL CALIFORNIA | 501 S CHINOWTH ST | VISALIA | CA | 93277 | Y | 5597391342 |
| BURGER BUDDIES LLC | 401 W LOS ANGELES AVENUE | MOORPARK | CA | 93021 | Y | 8055237034 |
| TRI STAR FOODS, LLC | 16995 CONDIT RD | MORGAN HILL | CA | 95037 | Y | 4087796411 |
| TWM INDUSTRIES, LP | 2434 JUNIPERO SERRA BLVD | DALY CITY | CA | 94015 | Y | 6509949009 |
| CENTRAL CALIFORNIA | 904 W EL MONTE WAY | DINUBA | CA | 93618 | Y | 5595959137 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)

Question 22

How many Carls Jr. locations listed in this table are dual concept franchises?

Accepted Answer

| Franchisee                                             | Address                       | City          | State | Zip Code | Dual Concept | Phone      |
|--------------------------------------------------------|-------------------------------|---------------|-------|----------|-----------------|------------|
| OC BURGER BOYS, LLC | 1189 SO STATE COLLEGE BLVD | ANAHEIM | CA | 92806 | N | 7145333310 |
| OC BURGER BOYS, LLC | 2025 E KATELLA AVE | ANAHEIM | CA | 92806 | N | 7143851504 |
| OC BURGER BOYS, LLC | 1091 N TUSTIN AVE | ANAHEIM | CA | 92807 | N | 7146668934 |
| AKASH RESTAURANTS, | 12271 APPLE VALLEY | APPLE VALLEY | CA | 92308 | N | 7602404169 |
| LLC | RD |  |  |  |  |  |
| CLK 2 D-S, LP | 20302 US HIGHWAY 18 | APPLE VALLEY | CA | 92307 | N | 7609610915 |
| SENIOR CLASSIC | 165 E DUARTE RD | ARCADIA | CA | 91006 | N | 6264474840 |
| LEASING, LLC |  |  |  |  |  |  |
| JLN ENTERPRISES, L.P. | 4900 VALLEY WEST BLVD | ARCATA | CA | 95521 | N | 7078229058 |
| CENTRAL COAST STAR, | 1590 W. BRANCH | ARROYO GRANDE | CA | 93420 | N | 8054817052 |
| LLC | STREET |  |  |  |  |  |
| PALISADES RESTAURANT | 5631 LAVAL RD | ARVIN | CA | 93203 | N | 6618581162 |
| GROUP INC. |  |  |  |  |  |  |
| CENTRAL COAST STAR, | 7085 EL CAMINO REAL | ATASCADERO | CA | 93422 | N | 8054628092 |
| LLC |  |  |  |  |  |  |
| THE CHOWCHILLA | 1600 BELL LN | ATWATER | CA | 95301 | Y | 2093582567 |
| CONNECTION, LLC |  |  |  |  |  |  |
| ZEALOUS BUSINESS | 2300 GRASS VALLEY | AUBURN | CA | 95603 | N | 5308238802 |
| GROUP, INC. | HIGHWAY |  |  |  |  |  |
| SENIOR CLASSIC | 1190 WEST FOOTHILL | AZUSA | CA | 91702 | N | 6263345340 |
| LEASING, LLC | BLVD |  |  |  |  |  |
| MICHAEL RAZIPOUR, | 56335 MOJAVE POINTE | BAKER | CA | 92309 | N | 7607331014 |
| MOREY MIRKAZEMI, |  |  |  |  |  |  |
| GLORIA LOCSIN |  |  |  |  |  |  |
| CJB RESTAURANTS, LLC | 815 REAL ROAD | BAKERSFIELD | CA | 93309 | N | 6613230296 |
| CJB RESTAURANTS, LLC | 2412 MING AVE | BAKERSFIELD | CA | 93304 | N | 6618348646 |
| CJB RESTAURANTS, LLC | 9000 MING AVE | BAKERSFIELD | CA | 93311 | Y | 6616652396 |
| CJB RESTAURANTS, LLC | 2930 F STREET | BAKERSFIELD | CA | 93301 | N | 6613222851 |
| CJB RESTAURANTS, LLC | 3901 AUBURN AVENUE | BAKERSFIELD | CA | 93306 | Y | 6618715152 |

| Franchisee                     | Address                      | City           | State | Zip Code | Dual Concept | Phone      |
|--------------------------------|------------------------------|----------------|-------|----------|-----------------|------------|
| BRENTWOOD STAR, LLC | 6291 LONE TREE WAY | BRENTWOOD | CA | 94513 | N | 9253087010 |
| CENTRAL COAST STAR, | 208 E. HIGHWAY 246 | BUELLTON | CA | 93427 | N | 8056931125 |
| LLC |  |  |  |  |  |  |
| OC BURGER BOYS, LLC | 6002 BEACH BLVD | BUENA PARK | CA | 90621 | N | 7145237240 |
| OC BURGER BOYS, LLC | 8991 KNOTT AVE | BUENA PARK | CA | 90620 | N | 7148277210 |
| OC BURGER BOYS, LLC | 8361 LA PALMA | BUENA PARK | CA | 90620 | N | 7145211865 |
| SUN GIR, INC. | 1320 N. SAN FERNANDO ROAD | BURBANK | CA | 91504 | N | 8188453396 |
| CLK 2, LLC | 221 W BIRCH ST | CALEXICO | CA | 92231 | N | 7603573717 |
| CLK 3 D-S, LP | 1164 CALIMESA BLVD | CALIMESA | CA | 92320 | N | 9094460522 |
| BTO INVESTMENTS | 4065 CAMERON PARK DR | CAMERON PARK | CA | 95682 | N | 5306777539 |
| SENIOR CLASSIC | 20105 SATICOY | CANOGA PARK | CA | 91306 | N | 8187090689 |
| LEASING, LLC |  |  |  |  |  |  |
| SENIOR CLASSIC | 21201 SHERMAN WAY | CANOGA PARK | CA | 91303 | N | 8187160599 |
| LEASING, LLC |  |  |  |  |  |  |
| SENIOR CLASSIC | 20900 ROSCOE BLVD | CANOGA PARK | CA | 91304 | N | 8187008584 |
| LEASING, LLC |  |  |  |  |  |  |
| BURGER BUDDIES LLC | 18950 SOLEDAD CANYON RD | CANYON COUNTRY | CA | 91351 | N | 6612524114 |
| SDC RESTAURANTS LLC | 950 CARLSBAD VILLAGE DR | CARLSBAD | CA | 92008 | N | 7607297258 |
| SDC RESTAURANTS LLC | 2608 EL CAMINO REAL | CARLSBAD | CA | 92008 | N | 7607295584 |
| SDC RESTAURANTS LLC | 925 PALOMAR AIRPORT RD | CARLSBAD | CA | 92011 | N | 7604381132 |
| AMS RESTAURANTS, LLC | 5935 MADISON AVENUE | CARMICHAEL | CA | 95608 | N | 9163487735 |
| CENTRAL COAST STAR, | 4610 CARPINTERIA AVE | CARPINTERIA | CA | 93013 | N | 8056844079 |
| LLC |  |  |  |  |  |  |
| OC BURGER BOYS, LLC | 17450 AVALON BLVD | CARSON | CA | 90746 | Y | 3103236855 |
| OC BURGER BOYS, LLC | 1881 E DEL AMO BLVD | CARSON | CA | 90746 | Y | 3107632744 |

| Franchisee                     | Address                     | City        | State | Zip Code | Dual Concept | Phone      |
|--------------------------------|-----------------------------|-------------|-------|----------|-----------------|------------|
| SDC RESTAURANTS LLC | 520 N SECOND STREET | EL CAJON | CA | 92021 | N | 6195797083 |
| CLK 4, LLC | 1498 ADAMS AVE | EL CENTRO | CA | 92243 | N | 7603535633 |
| SENIOR CLASSIC | 3832 PECK ROAD | EL MONTE | CA | 91732 | N | 6263501642 |
| LEASING, LLC |  |  |  |  |  |  |
| OC BURGER BOYS, LLC | 639 N. SEPULVEDA BLVD. | EL SEGUNDO | CA | 90245 | Y | 3103221318 |
| AMS RESTAURANTS, LLC | 8140 SHELDON RD | ELK GROVE | CA | 95758 | N | 9166818923 |
| AMS RESTAURANTS, LLC | 8401 ELK GROVE FLORIN RD | ELK GROVE | CA | 95624 | N | 9166814038 |
| AMS RESTAURANTS, LLC | 8722 ELK GROVE BLVD | ELK GROVE | CA | 95624 | N | 9166851642 |
| AMS RESTAURANTS, LLC | 9664 BRUCEVILLE RD | ELK GROVE | CA | 95757 | N | 9167142476 |
| AMS RESTAURANTS, LLC | 2609 W TARON CT | ELK GROVE | CA | 95757 | N | 9167145660 |
| SDC RESTAURANTS LLC | 1137 REGAL RD | ENCINITAS | CA | 92024 | N | 7604368660 |
| SDC RESTAURANTS LLC | 435 W 13TH AVE | ESCONDIDO | CA | 92025 | N | 7607413129 |
| SDC RESTAURANTS LLC | 1280 EAST VALLEY PARKWAY | ESCONDIDO | CA | 92027 | N | 7607476116 |
| SDC RESTAURANTS LLC | 1288 AUTO PARK WAY | ESCONDIDO | CA | 92029 | N | 7607437571 |
| JLN ENTERPRISES, L.P. | 3160 SO BROADWAY | EUREKA | CA | 95501 | N | 7074421690 |
| STRZ4US, INC. | 2380 N TEXAS ST | FAIRFIELD | CA | 94533 | N | 7074256993 |
| SDC RESTAURANTS LLC | 1137 SO. MISSION ROAD | FALLBROOK | CA | 92028 | N | 7607233530 |
| BURGER BUDDIES LLC | 754 W VENTURA ST | FILLMORE | CA | 93015 | N | 8055243988 |
| BTO INVESTMENTS | 9500 GREENBACK LN #54 | FOLSOM | CA | 95630 | N | 9169889011 |
| BTO INVESTMENTS | 1016 E BIDWELL ST | FOLSOM | CA | 95630 | N | 9169839260 |
| AKASH RESTAURANTS, | 16565 SIERRA LAKES | FONTANA | CA | 92336 | N | 9094282704 |
| LLC | PKWY |  |  |  |  |  |
| TWM-VFR | 1140 TRITON DRIVE | FOSTER CITY | CA | 94404 | Y | 6503491221 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)

Question 23

How many Carls Jr. locations listed in this table are dual concept locations?

Accepted Answer

| Franchisee                         | Address                         | City          | State | Zip Code | Dual Concept | Phone      |
|------------------------------------|---------------------------------|---------------|-------|----------|-----------------|------------|
| THE CHOWCHILLA | 1551 W PACHECO BLVD | LOS BANOS | CA | 93635 | Y | 2098274533 |
| CONNECTION, LLC |  |  |  |  |  |  |
| THE CHOWCHILLA | 1941 E PACHECO BLVD | LOS BANOS | CA | 93635 | Y | 2098273567 |
| CONNECTION, LLC |  |  |  |  |  |  |
| THE CHOWCHILLA | 301 S. MADERA AVE. | MADERA | CA | 93637 | Y | 5596747863 |
| CONNECTION, LLC |  |  |  |  |  |  |
| THE CHOWCHILLA | 1305 COUNTRY CLUB | MADERA | CA | 93638 | Y | 5596749772 |
| CONNECTION, LLC | DRIVE |  |  |  |  |  |
| MANTECA STAR, LLC | 990 N MAIN ST | MANTECA | CA | 95336 | Y | 2092395851 |
| MANTECA STAR, LLC | 1465 W YOSEMITE AVE | MANTECA | CA | 95337 | Y | 2092397705 |
| MANTECA STAR, LLC | 1489 HULSEY WAY | MANTECA | CA | 95336 | Y | 2098257190 |
| THE CHOWCHILLA | 1600 BELL LN | ATWATER | CA | 95301 | Y | 2093582567 |
| CONNECTION, LLC |  |  |  |  |  |  |
| CJB RESTAURANTS, LLC | 9000 MING AVE | BAKERSFIELD | CA | 93311 | Y | 6616652396 |
| CJB RESTAURANTS, LLC | 3901 AUBURN AVENUE | BAKERSFIELD | CA | 93306 | Y | 6618715152 |
| OC BURGER BOYS, LLC | 17450 AVALON BLVD | CARSON | CA | 90746 | Y | 3103236855 |
| OC BURGER BOYS, LLC | 1881 E DEL AMO BLVD | CARSON | CA | 90746 | Y | 3107632744 |
| OC BURGER BOYS, LLC | 639 N. SEPULVEDA BLVD. | EL SEGUNDO | CA | 90245 | Y | 3103221318 |
| TWM-VFR | 1140 TRITON DRIVE | FOSTER CITY | CA | 94404 | Y | 6503491221 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)

Question 24

How many Carls Jr. locations listed for TWM/FRESNO, LLC are dual concept restaurants?

Accepted Answer

| Franchisee                            | Address                   | City            | State | Zip Code | Dual Concept | Phone      |
|---------------------------------------|---------------------------|-----------------|-------|----------|-----------------|------------|
| TWM/FRESNO, LLC | 3983 N BLACKSTONE | FRESNO | CA | 93726 | N | 5592252428 |
| TWM/FRESNO, LLC | 217 N ABBY | FRESNO | CA | 93701 | N | 5592680069 |
| TWM/FRESNO, LLC | 5275 W SHAW AVE | FRESNO | CA | 93722 | Y | 5592756526 |
| TWM/FRESNO, LLC | 1588 N FIRST STREET | FRESNO | CA | 93703 | Y | 5594851705 |
| TWM/FRESNO, LLC | 6767 N FIRST ST | FRESNO | CA | 93710 | Y | 5594321477 |
| TWM/FRESNO, LLC | 5007 E. MCKINLEY | FRESNO | CA | 93727 | N | 5592514500 |
| TWM/FRESNO, LLC | 3820 N CEDAR AVE | FRESNO | CA | 93726 | Y | 5592250288 |
| TWM/FRESNO, LLC | 2590 SOUTH EAST AVENUE | FRESNO | CA | 93706 | Y | 5592378113 |
| TWM/FRESNO, LLC | 3092 WEST SHAW AVENUE | FRESNO | CA | 93711 | N | 5592760196 |
| TWM/FRESNO, LLC | 5625 E. KINGS CANYON ROAD | FRESNO | CA | 93727 | Y | 5594548379 |
| TWM/FRESNO, LLC | 1611 N. BLACKSTONE AVE. | FRESNO | CA | 93703 | N | 5592660386 |
| TWM/FRESNO, LLC | 1052 E SHAW | FRESNO | CA | 93710 | N | 5592218990 |
| TWM/FRESNO, LLC | 7646 N BLACKSTONE AVE | FRESNO | CA | 93720 | N | 5592612760 |
| TWM/FRESNO, LLC | 8873 N CHESTNUT AVE | FRESNO | CA | 93720 | Y | 5593248740 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)

Question 25

How many single-branded franchised Arby's restaurants, a brand related to Carls Jr. through common ownership, were operating internationally as of December 29, 2024?

Accepted Answer

**Arby's** is a franchisor of quick-serve restaurants operating under the Arby's® trade name and business system that feature slow-roasted, freshly sliced roasted beef and other deli-style sandwiches. In July 2011, Arby's became an Affiliated Program through an acquisition. Arby's has been franchising since 1965. Predecessors and former affiliates of Arby's have, in the past, offered franchises for other restaurant concepts including T.J. Cinnamons® stores that served gourmet baked goods. All of the T.J. Cinnamons locations have closed. As of December 29, 2024, there were 3,365 Arby's restaurants operating in the United States (2,286 franchised and 1,079 company-owned), including one multi-brand location. Additionally, as of December 29, 2024, there were 231 single-branded franchised Arby's restaurants operating internationally.

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–20)

Question 26

How many total hours of on-the-job training are required for Carls Jr. Shift Leaders and General Managers?

Accepted Answer

| Title | Hours of Classroom Training | Hours of On the Job Training | Location |
|---|---|---|---|
| Chapter 4 Intro Knowledge Check | :35 |  | Designated Training Facility |
| Leadership Essential: Develops | :16 |  | Designated Training Facility |
| Talent |  |  |  |
| RGM Chapter 4 Exam 1 | :15 |  | Designated Training Facility |
| RGM Chapter 4 Exam 2 | :15 |  | Designated Training Facility |
| RGM Chapter 4 Exam 3 | :15 |  | Designated Training Facility |
| RGM OJT Skill Sign Off |  | 1:00 |  |
| Chapter 4 Hands on Practice |  | 30:00 |  |
| Chapter 5 Intro Knowledge Check | :35 |  | Designated Training Facility |
| Leadership Essential: Business | :12 |  | Designated Training Facility |
| Insights |  |  |  |
| RGM Chapter 5 Exam 1 | :15 |  | Designated Training Facility |
| RGM Chapter 5 Exam 2 | :15 |  | Designated Training Facility |
| RGM Chapter 5 Exam 3 | :15 |  | Designated Training Facility |
| RGM OJT Skill Sign Off |  | 1:00 |  |
| Chapter 5 Hands on Practice |  | 30:00 |  |
| RGM Program Evaluation | :15 |  | Designated Training Facility |
| Workbook Practice Activities | 32:00 |  | Designated Training Facility |
|  | 40:32 (hrs) | 155 (hrs) | Designated Training Facility |
| Total | About 24.42 Days (195.32 hrs) |  |  |

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 42–55)

Question 27

What are the requirements a Carls Jr. franchisee must satisfy to be eligible for the 2025 CJR development incentive program?

Accepted Answer

ANT FRANCHISE AGREEMENT**

|                          | THIS ADDENDUM to the Carl's Jr. Restaurant Franchise Agreement dated as of |
|--------------------------|----------------------------------------------------------------------------|
|  | , ("Franchise Agreement") between Carl's Jr. Restaurants LLC ("CJR") and ("Franchisee") is entered into simultaneously with |
| the Franchise Agreement. |  |
# **RECITALS**

- A. In order to stimulate the development of new franchised Carl's Jr. Restaurants and the continued expansion of the System at eligible travel center and goas and convenience locations, CJR has established the 2025 CJR development incentive program ("Program").
- B. To be eligible for the Program, the following requirements must be satisfied: (i) Franchisee must sign a Development Agreement for the development of a newly-constructed Carl's Jr. Restaurant by no later than May 24, 2026 or Franchisee must sign a Franchise Agreement for the development of a newly constructed Hardee's Restaurant pursuant to the terms of a Development Agreement dated no later than May 24, 2026, (ii) Franchisee must open the newlyconstructed Carl's Jr. Restaurant(s) by the date(s) outlined in the corresponding Development Agreement or Franchise Agreement, (iii) Franchisee may not be in default of its obligations under its existing franchise agreements or related agreements with CJR or its affiliates, (iv) Franchisee must be approved for growth by CJR and its affiliates, (vi) Franchisee must satisfy CJR's thencurrent financial and operational requirements for new restaurant development, and (v) Franchisee and the Carl's Jr. Restaurant(s) otherwise meet the requirements of the Program.
  - C. Franchisee and the Franchised Restaurant are eligible to participate in the Program.
- D. Consequently, CJR and Franchisee are entering into this Addendum to modify the Franchise Agreement to reflect the Franchisee's participation in the Program incentives.

# **AGREEMENT**

**NOW, THEREFORE,** in consideration of the mutual covenants, agreements and obligations set forth below, the parties, intending to be legally bound, agree to amend the Franchise Agreement as follows:

# **1. Reduced Royalty and APO for Limited Period of Time.**

Notwithstanding anything to the contrary contained in the Franchise Agreement, CJR agrees that each of the royalty fee and APO to be paid by Franchisee for the Franchised Restaurant will be reduced by: **(A)** 3% of Gross Sales for Gross Sales accruing during the Franchised Restaurant's first 12 months of operation under the Franchise Agreement; **(B)** 2% of Gross Sales for Gross Sales accruing during the Franchised Restaurant's second 12 months of operation under the Franchise Agreement; and **(C)** 1% of Gross Sales for Gross Sales accruing during the Franchised Restaurant's third 12 months of operation under the Franchise Agreement. Thereafter and during the remaining Initial Term of the Franchise Agreement the royalty fee will revert to 4%

![](_page_332_Picture_0.jpeg)

of Gross Sales and the APO will revert to 5.5% of Gross Sales. The royalty fee and APO to be paid pursuant to this Addendum are set forth in Exhibit 1.

- **2. Other Development Incentive Programs.** Franchisee acknowledges and agrees that, by signing this Addendum, it will not be entitled, with respect to the Franchised Restaurant, to any other incentive that have been or may be offered by CJR.
- **3. Termination of Program Incentives.** This Addendum and the Program will terminate following written notice to Franchisee if:
- **A.** Franchisee fails to open the Franchised Restaurant on or before 120 days after the contractual opening date pursuant to the terms of the Franchisee's Development Agreement or Franchise Agreement; or
- **B.** Franchisee or any affiliate of Franchisee receives, during the first three years of operation of the Franchised Restaurant under the Franchise Agreement, a written notice of default under any agreement between Franchisee or any affiliate of Franchisee and CJR or any affiliate of CJR and fails to cure the default within the applicable cure period, if any.
- **4. Effect of Termination.** If this Addendum is terminated during the first three years of the Franchised Restaurant's operation under the Franchise Agreement, the royalty fee and APO for the Franchised Restaurant will immediately revert to the applicable amounts set forth in the Franchise Agreement.
- **5. Capitalized Terms.** Any capitalized term that is not defined in this Addendum will have the meaning given it in the Franchise Agreement.
- **6. Limited Modification.** Except as expressly modified by this Addendum, the Franchise Agreement remains unmodified and in full force and effect.

**[***Signatures on following page.***]**

![](_page_333_Picture_0.jpeg)

**IN WITNESS WHEREOF,** the parties have duly executed, sealed and delivered this Addendum as of the day and year first above written.

Source: Item 21 — FINANCIAL STATEMENTS (FDD page 75)

Question 28

Did any Carls Jr. restaurants in Colorado close due to termination, non-renewal, or reacquisition by the franchisor between 2023 and 2025?

Accepted Answer

| State | Year | Restaurants at Start of the Year | Restaurants Opened | Terminations | Non- Renewals | Reacquired by Franchisor | Ceased Operations – Other Reasons | Restaurants at End of the Year |
|---|---|---|---|---|---|---|---|---|
| CO | 2023 | 44 | 1 | 0 | 0 | 0 | 0 | 45 |
|  | 2024 | 45 | 2 | 0 | 0 | 0 | 0 | 47 |
|  | 2025 | 47 | 1 | 0 | 0 | 0 | 0 | 48 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)

Question 29

Since 2004, how many 1-800-Radiator franchises have been in operation in the United States, and does this information provide any context for the Carls Jr. franchise?

Accepted Answer

**1-800-Radiator** franchises distribution warehouses selling radiators, condensers, air conditioning compressors, fan assemblies and other automotive parts to automotive shops, chain accounts and retail consumers. 1-800-Radiator and its predecessor have offered 1-800-Radiator franchises since 2004. As of December 28, 2024, there were 193 1-800-Radiator franchises in operation in the United States. 1-800- Radiator's affiliate has owned and operated 1-800-Radiator warehouses since 2001 and, as of December 28, 2024, owned and operated 1 1-800-Radiator warehouse in the United States.

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–20)

Question 30

What is the total duration of the Carls Jr. Shift Leader and General Manager training program in days?

Accepted Answer

The minimum length of the FMTP is 8 consecutive weeks; however, depending on the prior experience of the trainee, the FMTP could be shorter or longer.

| Title | Hours of Classroom Training | Hours of On the Job Training | Location |
|---|---|---|---|
|  | 40:32 (hrs) | 155 (hrs) | Designated Training Facility |
| Total | About 24.42 Days (195.32 hrs) |  |  |

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 42–55)

Question 31

What is the total estimated duration, in days, of the Carls Jr. training program?

Accepted Answer

The minimum length of the FMTP is 8 consecutive weeks; however, depending on the prior experience of the trainee, the FMTP could be shorter or longer.

| Title | Hours of Classroom Training | Hours of On the Job Training | Location |
|---|---|---|---| 
| Chapter 4 Intro Knowledge Check | :35 |  | Designated Training Facility |
| Leadership Essential: Develops | :16 |  | Designated Training Facility |
| Talent |  |  |  |
| RGM Chapter 4 Exam 1 | :15 |  | Designated Training Facility |
| RGM Chapter 4 Exam 2 | :15 |  | Designated Training Facility |
| RGM Chapter 4 Exam 3 | :15 |  | Designated Training Facility |
| RGM OJT Skill Sign Off |  | 1:00 |  |
| Chapter 4 Hands on Practice |  | 30:00 |  |
| Chapter 5 Intro Knowledge Check | :35 |  | Designated Training Facility |
| Leadership Essential: Business | :12 |  | Designated Training Facility |
| Insights |  |  |  |
| RGM Chapter 5 Exam 1 | :15 |  | Designated Training Facility |
| RGM Chapter 5 Exam 2 | :15 |  | Designated Training Facility |
| RGM Chapter 5 Exam 3 | :15 |  | Designated Training Facility |
| RGM OJT Skill Sign Off |  | 1:00 |  |
| Chapter 5 Hands on Practice |  | 30:00 |  |
| RGM Program Evaluation | :15 |  | Designated Training Facility |
| Workbook Practice Activities | 32:00 |  | Designated Training Facility |
|  | 40:32 (hrs) | 155 (hrs) | Designated Training Facility |
| Total | About 24.42 Days (195.32 hrs) |  |  |

We may require those individuals who will have a 10% or greater interest in the franchisee entity to attend a 10-Day Operations Overview before we will commit to enter into any agreement with you. The 10-Day Operations Overview will be conducted at those locations specified by us. As described in Item 5, we may charge a fee for this program, and you will be required to pay all travel, living and other expenses incurred in attending this program. The persons participating in the 10-Day Operations Overview will be required to execute the Preliminary Agreement.

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 42–55)

Question 32

What is the total estimated low and high range for the initial investment to open a Carls Jr. franchise?

Accepted Answer

| Type of Expenditure | Low Amount | High Amount | Method of Payment (2) | When Due | To Whom Payment Is To Be Made |
|---|---|---|---|---|---|
| Fees to CJR: |  |  |  |  |  |
| Initial Franchise Fee (3) | $25,000 | $25,000 | Lump sum or installments | See Item 5 | CJR |
| Opening Training | $32,000 | $72,000 | As incurred | See Item 5 | Vendors, CJR |
| Support Team Fee (3) |  |  |  |  |  |
| Total Fees to CJR | $57,000 | $97,000 |  |  |  |
| Build-Out Costs: |  |  |  |  |  |
| Point of Sale System | $55,000 | $72,000 |  |  | Vendors, CJR and |
| (4) |  |  |  |  | third parties |
| Soft Costs (5) | $5,000 | $25,000 | As arranged | As incurred | Vendors and third parties |
| Equipment (4) | $350,000 | $540,000 | As arranged | As incurred | Vendors, CJR |
| Signage (6) | $15,000 | $55,000 | As arranged | As incurred | Vendors and third parties |
| Total Build-Out | $425,000 | $692,000 |  |  |  |
| Costs |  |  |  |  |  |
| Preliminary Operating Expenses: |  |  |  |  |  |
| Initial Training (7) | $20,000 | $60,000 | As arranged | As incurred | Third parties |
| Pre-Opening Costs (8) | $26,000 | $44,000 | As arranged | As incurred | Vendors, CJR |
| Additional Funds - | $160,000 | $250,000 | As arranged | As incurred | Vendors, CJR |
| 3 months (9) |  |  |  |  |  |
| Total Preliminary | $206,000 | $354,000 |  |  |  |
| Operating Expenses |  |  |  |  |  |
| TOTAL | $688,000 $1,143,000 |  |  |  |  |
| ESTIMATED |  |  |  |  |  |
| INITIAL |  |  |  |  |  |
| INVESTMENT (10) |  |  |  |  |  |

Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 35–37)

Question 33

What was the total number of Carls Jr. franchise transfers across all listed states in 2023?

Accepted Answer

| | | | | | 2024 | 0 | 0 | 0 | | | 2025 | 0 | 0 | 0 | | Total Outlets | 2023 | 270 | 269 | -1 | | | 2024 | 269 | 262 | -7 | | | 2025 | 262 | 107 | -155 | ^\*The Restaurants included in this table are also included in the preceding table. ![](_page_68_Picture_0.jpeg) **Table No. 2 Transfers of Restaurants from Franchisees to New Owners (Other than to CJR, Its Predecessor or Their Affiliates) For Fiscal Years 2023-2025(1)** | State | Year | Number of Transfers | |---|---|---| | AZ | 2023 | 3 | | | 2024 | 3 | | | 2025 | 0 | | CA | 2023 | 81 | | | 2024 | 10 | | | 2025 | 0 | | CO | 2023 | 0 | | | 2024 | 0 | | | 2025 | 7 | | NV | 2023 | 0 | | | 2024 | 6 | | | 2025 | 0 | | NM | 2023 | 0 | | | 2024 | 3 | | | 2025 | 0 | | TX | 2023 | 0 | | | 2024 | 11 | | | 2025 | 2 | | UT | 2023 | 10 | | | 2024 | 0 | | | 2025 | 0 Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)

Question 34

What was the total number of Carls Jr. restaurants at the end of 2024?

Accepted Answer

| Restaurant Type | Year | Restaurants at Start of the Year | Restaurants at End of the Year | Net Change |
|---|---|---|---|---|
| Franchised | 2023 | 1018 | 1020 | +2 |
|  | 2024 | 1020 | 1014 | -6 |
|  | 2025 | 1014 | 982 | -32 |
| Company- | 2023 | 48 | 49 | +1 |
| Operated |  |  |  |  |
|  | 2024 | 49 | 49 | 0 |
|  | 2025 | 49 | 50 | +1 |
| Total Outlets | 2023 | 1066 | 1069 | +3 |
|  | 2024 | 1069 | 1063 | -6 |
|  | 2025 | 1063 | 1032 | -31 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)

Question 35

What was the total number of Carls Jr. restaurants opened across all locations in 2024, according to the table?

Accepted Answer

| State | Year | Restaurants at Start of the Year | Restaurants Opened | Terminations | Non- Renewals | Reacquired by Franchisor | Ceased Operations – Other Reasons | Restaurants at End of the Year |
|---|---|---|---|---|---|---|---|---|
| WY | 2023 | 3 | 0 | 0 | 0 | 0 | 0 | 3 |
|  | 2024 | 3 | 0 | 0 | 0 | 0 | 0 | 3 |
|  | 2025 | 3 | 0 | 0 | 0 | 0 | 0 | 3 |
| TOTAL | 2023 | 1018 | 6 | 0 | 0 | 0 | 4 | 1020 |
|  | 2024 | 1020 | 9 | 1 | 1 | 1 | 12 | 1014 |
|  | 2025 | 1014 | 7 | 0 | 4 | 1 | 34 | 982 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)

Question 36

What is the total projected number of new Carls Jr. franchised restaurants expected to open in the next fiscal year across all listed states?

Accepted Answer

| State | Franchise Agreements Signed But Restaurant Not Opened | Projected New Franchised Restaurants In Next Fiscal Year | Projected New Company- Operated Restaurants In Next Fiscal Year |
|---|---|---|---|
| Arizona | 0 | 0 | 0 |
| California | 2 | 1 | 0 |
| Colorado | 2 | 2 | 0 |
| Florida | 0 | 0 | 0 |
| Nevada | 1 | 2 | 0 |
| Washington | 0 | 0 | 0 |
| Total | 5 | 5 | 0 |

Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 68–75)

Question 37

Under the Carls Jr. agreement, what claims against CJR are NOT waived by the developer?

Accepted Answer

This provision does not include a release of claims arising from representations in the Carl's Jr.

Franchise Disclosure Document provided to Franchisee in connection with this Agreement or any claims arising under any applicable state or federal franchise laws regulating the offer or sale of the franchise for this Agreement (including without limitation the FTC Rule on Franchising (16 C.F.R.

Part 436)).

Source: Item 23 — RECEIPTS (FDD pages 76–364)

Question 38

According to the FDD, how many company-owned Abra repair centers were operating in the United States as of December 28, 2024, and what does this indicate about Carls Jr.?

Accepted Answer

**Abra** franchises repair and refinishing centers that offer high quality auto body repair and refinishing and auto glass repair and replacement services at competitive prices. Abra and its predecessor have offered Abra franchises since 1987. As of December 28, 2024, there were 55 franchised Abra repair centers and no company-owned repair centers operating in the United States.

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–20)

Question 39

According to the FDD, how many franchised Cinnabon bakeries were there outside the United States as of December 31, 2024, and how does this compare to Carls Jr.?

Accepted Answer

ppes outside the United States.

**Cinnabon** franchises Cinnabon® bakeries that feature oven-hot cinnamon rolls, as well as other baked treats and specialty beverages. It also licenses independent third parties to operate domestic and international franchised Cinnabon® bakeries and Seattle's Best Coffee® franchises on military bases in the United States and in certain international countries, and to use the Cinnabon trademarks on products dissimilar to those offered in Cinnabon bakeries. In November 2004, the Cinnabon system became affiliated with GoTo Foods through an acquisition. Cinnabon's predecessor began franchising in 1990. As of December 31, 2024, there were 1,002 franchised and 28 affiliate-owned Cinnabon bakeries in the United States, 1,040 franchised Cinnabon bakeries outside the United States, and 193 franchised Seattle's Best Coffee units outside the United States.

**Jamba** franchises Jamba® stores that feature a wide variety of fresh blended-to-order smoothies and other cold or hot beverages and offer fresh squeezed juices and portable food items to customers who come for snacks and light meals. Jamba has offered JAMBA® franchises since October 2018. In October 2018, Jamba became affiliated with GoTo Foods through an acquisition. Jamba's predecessor began franchising in 1991. As of December 31, 2024, there were 726 franchised Jamba stores and one affiliateowned Jamba store in the United States and 61 franchised Jamba stores outside the United States.

**McAlister's** franchises McAlister's Deli® restaurants that feature deli foods, including hot and cold deli sandwiches, baked potatoes, salads, soups, desserts, iced tea and other food and beverage products. The McAlister's system became an Affiliated Program through an acquisition in July 2005 and became affiliated with GoTo Foods in October 2013. McAlister's or its predecessor have been franchising since 1999. As of December 31, 2024, there were 524 franchised and 36 affiliate-owned McAlister's restaurants in the United States.

**Moe's** franchises Moe's Southwest Grill® fast casual restaurants which feature fresh-mex and southwestern food.

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–20)

Question 40

According to the text, which brands became affiliated with GoTo Foods through an acquisition, similar to how Carls Jr. may have?

Accepted Answer

units outside the United States.

**Jamba** franchises Jamba® stores that feature a wide variety of fresh blended-to-order smoothies and other cold or hot beverages and offer fresh squeezed juices and portable food items to customers who come for snacks and light meals. Jamba has offered JAMBA® franchises since October 2018. In October 2018, Jamba became affiliated with GoTo Foods through an acquisition. Jamba's predecessor began franchising in 1991. As of December 31, 2024, there were 726 franchised Jamba stores and one affiliateowned Jamba store in the United States and 61 franchised Jamba stores outside the United States.

**McAlister's** franchises McAlister's Deli® restaurants that feature deli foods, including hot and cold deli sandwiches, baked potatoes, salads, soups, desserts, iced tea and other food and beverage products. The McAlister's system became an Affiliated Program through an acquisition in July 2005 and became affiliated with GoTo Foods in October 2013. McAlister's or its predecessor have been franchising since 1999. As of December 31, 2024, there were 524 franchised and 36 affiliate-owned McAlister's restaurants in the United States.

**Moe's** franchises Moe's Southwest Grill® fast casual restaurants which feature fresh-mex and southwestern food. In August 2007, the Moe's system became affiliated with GoTo Foods through an acquisition. Moe's predecessor began offering Moe's Southwest Grill franchises in 2001. As of December 31, 2024, there were 591 franchised and five affiliate-owned Moe's Southwest Grill restaurants in the United States.

**Schlotzsky's** franchises Schlotzsky's® quick-casual restaurants that feature sandwiches, pizza, soups, and salads. Schlotzsky's signature items are its "fresh-from-scratch" sandwich buns and pizza crusts that are baked on-site every day. In November 2006, the Schlotzsky's system became affiliated with GoTo Foods through an acquisition. Schlotzsky's restaurant franchises have been offered since 1976. As of December 31, 2024, there were 280 franchised and 28 affiliate-owned Schlotzsky's restaurants in the United States.

**Inspire Brands, Inc.** ("**Inspire Brands**") is a global multi-brand restaurant company, launched in February 2018 upon completion of the merger of the Arby's and Buffalo Wild Wings brands. Inspire Brands is a parent company to six franchisors offering and selling franchises in the United States, including: Arby's Franchisor, LLC ("**Arby's**"), Baskin-Robbins Franchising LLC ("**Baskin-Robbins**"), Buffalo Wild Wings International, Inc. ("**Buffalo Wild Wings**"), Dunkin' Donuts Franchising LLC ("**Dunkin'**"), Jimmy John's Franchisor SPV, LLC ("**Jimmy John's**"), and Sonic Franchising LLC ("**Sonic**"). Inspire Brands is also a parent company to the following franchisors offering and selling franchises internationally: Inspire International, Inc. ("**Inspire International**"), DB Canadian Franchising ULC ("**DB Canada**"), DDBR International LLC ("**DB China**"), DD Brasil Franchising Ltda. ("**DB Brasil**"), DB Mexican Franchising LLC ("**DB Mexico**"), and BR UK Franchising LLC ("**BR UK**"). All of Inspire Brands' franchisors have

![](_page_13_Picture_0.jpeg)

a principal place of business at Three Glenlake Parkway NE, Atlanta, Georgia 30328 and, other than as described below for Arby's, have not offered franchises in any other line of business.

**Arby's** is a franchisor of quick-serve restaurants operating under the Arby's® trade name and business system that feature slow-roasted, freshly sliced roasted beef and other deli-style sandwiches. In July 2011, Arby's became an Affiliated Program through an acquisition. Arby's has been franchising since 1965. Predecessors and former affiliates of Arby's have, in the past, offered franchises for other restaurant concepts including T.J. Cinnamons® stores that served gourmet baked goods. All of the T.J. Cinnamons locations have closed. As of December 29, 2024, there were 3,365 Arby's restaurants operating in the United States (2,286 franchised and 1,079 company-owned), including one multi-brand location. Additionally, as of December 29, 2024, there were 231 single-branded franchised Arby's restaurants operating internationally.

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–20)

Question 41

According to the text, how does the number of Econo Lube franchises compare to the number of CARSTAR franchises, and does this comparison have any implications for Carls Jr.?

Accepted Answer

er 28, 2024, there were 14 Merlin franchises and no company-owned Merlin shops located in the United States.

**Econo Lube** offers franchises that provide oil change services and other automotive services including brakes, but not including exhaust systems. Econo Lube's predecessor began offering franchises in 1980 under the name "Muffler Crafters" and began offering franchises under the name "Econo Lube N' Tune" in 1985. As of December 28, 2024, there were eight Econo Lube N' Tune franchises and nine Econo Lube N' Tune franchises co-branded with Meineke centers in the United States, which are predominately in the western part of the United States, including California, Arizona, and Texas, and no company-owned Econo Lube N' Tune locations in the United States.

**1-800-Radiator** franchises distribution warehouses selling radiators, condensers, air conditioning compressors, fan assemblies and other automotive parts to automotive shops, chain accounts and retail consumers. 1-800-Radiator and its predecessor have offered 1-800-Radiator franchises since 2004. As of December 28, 2024, there were 193 1-800-Radiator franchises in operation in the United States. 1-800- Radiator's affiliate has owned and operated 1-800-Radiator warehouses since 2001 and, as of December 28, 2024, owned and operated 1 1-800-Radiator warehouse in the United States.

**CARSTAR** offers franchises for full-service automobile collision repair facilities providing repair and repainting services for automobiles and trucks that suffered damage in collisions. CARSTAR's business model focuses on insurance-related collision repair work arising out of relationships it has established with insurance company providers. CARSTAR and its affiliates first offered conversion franchises to existing automobile collision repair facilities in August 1989 and began offering franchises for new automobile repair facilities in October 1995.

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–20)

Question 42

According to the text, which restaurant brands became Affiliated Programs through acquisitions, similar to how Carls Jr. may have?

Accepted Answer

-branded franchised Dunkin' restaurants operating internationally.

**Jimmy John's** is a franchisor of restaurants operating under the Jimmy John's® trade name and business system that feature high-quality deli sandwiches, fresh baked breads, and other food and beverage products. Jimmy John's became an Affiliated Program through an acquisition in October 2016 and became part of Inspire Brands by merger in 2019. As of December 29, 2024, there were 2,689 Jimmy John's restaurants operating in the United States (2,647 franchised and 42 affiliate-owned). Of those 2,689 restaurants, 2,668 were singled-branded Jimmy John's restaurants and 21 were Jimmy John's restaurants

![](_page_14_Picture_0.jpeg)

operating at multi-brand locations. Additionally, as of December 29, 2024, there were five franchised Jimmy John's restaurants operating internationally.

**Sonic** is the franchisor of Sonic Drive-In® restaurants, which serve hot dogs, hamburgers and other sandwiches, tater tots and other sides, a full breakfast menu and frozen treats and other drinks. Sonic became an Affiliated Program through an acquisition in December 2018. Sonic has offered franchises for Sonic restaurants since May 2011. As of December 29, 2024, there were 3,461 Sonic Drive-Ins operating in the United States (3,144 franchised and 317 company-owned), including one multi-brand location.

**Inspire International** has, directly or through its predecessors, offered and sold franchises outside the United States for the following brands: Arby's restaurants (since May 2016), Buffalo Wild Wings sports bars (since October 2019), Jimmy John's restaurants (since November 2022), and Sonic restaurants (since November 2019). **DB Canada** was formed in May 2006 and has, directly or through its predecessors, offered and sold Baskin-Robbins franchises in Canada since January 1972. **DB China** has offered and sold Baskin-Robbins franchises in China since its formation in March 2006. **DB Brasil** has offered and sold Dunkin' and Baskin-Robbins franchises in Brazil since its formation in May 2014. **DB Mexico** has offered and sold Dunkin' franchises in Mexico since its formation in October 2006. **BR UK** has offered and sold Baskin-Robbins franchises in the UK since its formation in December 2014. The restaurants franchised by the international franchisors are included in the brand-specific disclosures above.

**Primrose School Franchising SPE, LLC** (**"Primrose"**) is a franchisor that offers franchises for the establishment, development and operation of educational childcare facilities serving families with children from 6 weeks to 12 years old operating under the Primrose® name. Primrose's principal place of business is 3200 Windy Hill Road SE, Suite 1200E, Atlanta GA 30339. Primrose became an Affiliated Program through an acquisition in June 2008. Primrose and its affiliates have been franchising since 1988.

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–20)

Question 43

Besides Arby's, what other restaurant brands are franchised by subsidiaries of Inspire Brands, the parent company related to Carls Jr.?

Accepted Answer

**Inspire Brands, Inc.** ("**Inspire Brands**") is a global multi-brand restaurant company, launched in February 2018 upon completion of the merger of the Arby's and Buffalo Wild Wings brands. Inspire Brands is a parent company to six franchisors offering and selling franchises in the United States, including: Arby's Franchisor, LLC ("**Arby's**"), Baskin-Robbins Franchising LLC ("**Baskin-Robbins**"), Buffalo Wild Wings International, Inc. ("**Buffalo Wild Wings**"), Dunkin' Donuts Franchising LLC ("**Dunkin'**"), Jimmy John's Franchisor SPV, LLC ("**Jimmy John's**"), and Sonic Franchising LLC ("**Sonic**"). Inspire Brands is also a parent company to the following franchisors offering and selling franchises internationally: Inspire International, Inc. ("**Inspire International**"), DB Canadian Franchising ULC ("**DB Canada**"), DDBR International LLC ("**DB China**"), DD Brasil Franchising Ltda. ("**DB Brasil**"), DB Mexican Franchising LLC ("**DB Mexico**"), and BR UK Franchising LLC ("**BR UK**"). All of Inspire Brands' franchisors have

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–20)

Question 44

Besides Carls Jr., with which other entities does Diane Simrall hold the position of Vice President - Finance?

Accepted Answer

Ms. Simrall has held this position since March 2025. She holds the same position with CJF, CKE, CKR, HR and SPV. She served as Head of Non-Traditional Development and Franchise Finance (from February 2024 to March 2025) and as Director of Franchise Finance (from January 2023 to February 2024) for Pizza Hut, LLC located in Plano, Texas. She served as Director of Franchise Finance for KFC US, LLC from July 2018 to January 2023, located in Louisville, KY.

Source: Item 2 — BUSINESS EXPERIENCE (FDD pages 20–22)

Question 45

Besides Carls Jr., with which other entities does Kelly Bengston hold the position of Chief Supply Chain Officer?

Accepted Answer

#### **Chief Supply Chain Officer – Kelly Bengston**

Ms. Bengston has held this position since February 2025. She holds the same position with CJF, CKE, CKR, HR and SPV.

Source: Item 2 — BUSINESS EXPERIENCE (FDD pages 20–22)

Question 46

Besides Carls Jr., what other franchise brands are indirectly parented by Driven Holdings and offered in Canada?

Accepted Answer

Driven Holdings is also the indirect parent company to the following franchisors that offer franchises in Canada: (1) **Meineke Canada SPV LP** and its predecessors have offered Meineke center franchises in Canada since August 2004; (2) **Maaco Canada SPV LP** and its predecessors have offered Maaco center franchises in Canada since 1983; (3) **1-800-Radiator Canada, Co.** has offered 1-800- Radiator warehouse franchises in Canada since April 2007; (4) **Carstar Canada SPV LP** and its predecessors have offered CARSTAR franchises in Canada since September 2000; (5) **Take 5 Canada SPV LP** and its predecessor have offered Take 5 franchises in Canada since November 2019; (6) **Driven Brands Canada Funding Corporation** and its predecessors have offered UniglassPlus and Uniglass Express franchises in Canada since 1985 and 2015, respectively, Vitro Plus and Vitro Express franchises in Canada since 2002, and Docteur du Pare Brise franchises in Canada since 1998; (7) **Go Glass Franchisor SPV LP** and its predecessors have offered Go! Glass & Accessories franchises since 2006 and Go! Glass franchises since 2017 in Canada; and (8) **Star Auto Glass Franchisor SPV LP** and its predecessors have offered Star Auto Glass franchises in Canada since approximately 2012.

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–20)

Question 47

Besides Carls Jr., what other restaurant brands has Inspire International offered franchises for outside the United States?

Accepted Answer

**Inspire International** has, directly or through its predecessors, offered and sold franchises outside the United States for the following brands: Arby's restaurants (since May 2016), Buffalo Wild Wings sports bars (since October 2019), Jimmy John's restaurants (since November 2022), and Sonic restaurants (since November 2019). **DB Canada** was formed in May 2006 and has, directly or through its predecessors, offered and sold Baskin-Robbins franchises in Canada since January 1972. **DB China** has offered and sold Baskin-Robbins franchises in China since its formation in March 2006. **DB Brasil** has offered and sold Dunkin' and Baskin-Robbins franchises in Brazil since its formation in May 2014. **DB Mexico** has offered and sold Dunkin' franchises in Mexico since its formation in October 2006. **BR UK** has offered and sold Baskin-Robbins franchises in the UK since its formation in December 2014. The restaurants franchised by the international franchisors are included in the brand-specific disclosures above.

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–20)

Question 48

Considering the initial fees for a Carls Jr. franchise in Item 5 and the other fees in Item 6, what is the total potential financial obligation to the franchisor in the first year?

Accepted Answer

ew will be conducted at those locations specified by us. As described in Item 5, we may charge a fee for this program, and you will be required to pay all travel, living and other expenses incurred in attending this program. The persons participating in the 10-Day Operations Overview will be required to execute the Preliminary Agreement.

We currently provide, at no charge for you, your Operating Principal (if not previously trained), your General Manager and 6 other employees who you have hired as Shift Leaders, the FMTP, provided the training takes place within 2 years of your signing the Franchise Agreement, in the operation of a Carl's Jr. Restaurant at those times and places designated by us. We reserve, however, the right to modify or waive the training required based on individual's or your experience. As described in Item 5, a fee is charged to provide the FMTP to additional individuals. The FMTP will include restaurant training at a Carl's Jr. Restaurant designated by us and training on Star University (StarU), our online Learning Management System.

In addition, we also provide you with access to our Learning Management System called Star University (StarU). Star University is a management platform which is used for the administration, tracking and reporting of learning and development programs. Currently, the fee associated with the use of this program is \$14 per fiscal period (as defined by us, currently a 4-week accounting period), but we reserve the right to increase the fee in the future. In addition, you will be required to sign the Star University License Agreement (the current form is attached as Appendix I to the Franchise Agreement). The fee is paid to us but we pass this entire fee to a third-party vendor to help facilitate the training environment. The use of Star University requires certain high-speed internet and hardware and such costs will be solely your responsibility. Star University is a required training tool for your Franchised Restaurant.

You will be required to pay all travel, living and other expenses incurred by you and your employees while attending the training. We reserve the right to dismiss from the FMTP any person whom we do not believe will perform acceptably in the position for which he has been hired by you, and you will provide a suitable replacement within one month of that dismissal.

The minimum length of the FMTP is 8 consecutive weeks; however, depending on the prior experience of the trainee, the FMTP could be shorter or longer. The FMTP trainers are experienced Carl's Jr. Restaurant managers who conduct the training under the supervision of CKR's Director of Global Learning & Organizational Development, Lisa Holloway. See Note (2) below regarding Lisa Holloway's experience.

Question 49

Considering the initial fees for a Carls Jr. franchise in Item 5 and the ongoing fees in Item 6, what is the total potential financial obligation to the franchisor over the term of the franchise agreement?

Accepted Answer

see must take to satisfy Sections 2.B.(2)(b) and (c). If CJR does not intend to permit Franchisee to remain a franchisee for the Renewal Term

Question 50

Considering the initial investment for a Carls Jr. franchise in Item 7 and the ongoing equipment maintenance costs, what is the total cost of equipment for the franchisee over the term of the franchise agreement?

Accepted Answer

after opening, for a total of up to two weeks. We will waive the \$15,000 Initial Franchise Fee for any Franchised Restaurant that opens 6 months prior to the contractual opening date for the Franchised Restaurant as set forth in the Development Agreement
- **(4)** You must purchase certain items of furniture, fixtures and equipment, the point of sale system, and smallwares. You may be able to lease from or finance through a third party a portion of these purchases, but you should expect to make a down-payment of up to 25%. The low end of these figures assumes that certain items such as furniture and seating, trash cans, décor, lighting, condiment and beverage stations, flooring, ceiling and wall finishes and restroom fixtures are common use

Question 51

Considering the initial investment for a Carls Jr. franchise in Item 7 and the ongoing insurance costs, what is the total cost of insurance coverage for the franchisee over the term of the franchise agreement?

Accepted Answer

stances, we simply pass through the franchisee payments to the designated vendor, supplier or landlord.

The funds contributed were used primarily to offset the cost of point of purchase associated with promoting Carl's Jr. products and other production advertising costs.

You must, at your sole expense, maintain in full force and effect throughout the term of each agreement that insurance that you determine is necessary or appropriate for liabilities caused by or occurring in connection with the development or operation of the Franchised Restaurant, which shall include, at a minimum, insurance policies of the kinds, and in the amounts, required by us. (Franchise Agreement, § 17; Development Agreement, § 7.). We may regulate the types, amounts, terms and conditions of insurance coverage required for the Franchised Restaurant, and standards for underwriters of policies providing required insurance coverage. You will receive written notice of these modifications, and you must take prompt action to comply. We, and any entity with an insurable interest designated by us, shall be an additional insured in such liability policies, except for workers' compensation/employer's liability, and loss payee for property to the extent each has an insurable interest. All insurance policies must be written by an insurance company (or companies) satisfactory to us in compliance with the standards, specifications, coverages and limits set forth in the OPM or otherwise provided to you in writing.

These required insurance policies include, at a minimum, the following: (1) Commercial General Liability insurance with policy limits not less than \$5,000,000 per occurrence and in the aggregate. Coverage shall apply per location, including coverage for contractual liability, broad form property damage, personal and advertising injury, product liability and completed operations, not to exclude food-borne illness, as well as Damage to Rented Premises coverage with limits not less than \$100,000; (2) Automobile Liability coverage, including owned, leased, non-owned and hired vehicles, with a combined single limit not less than \$1,000,000 per accident and additional liability coverage as needed for delivery services. This may be included a

Question 52

Considering the initial investment for a Carls Jr. franchise in Item 7 and the ongoing marketing fees in Item 6, what is the total cost of marketing and advertising for the franchisee over the term of the franchise agreement?

Accepted Answer

range also includes, for a Carl's Jr. Restaurant, \$18,000 to \$21,000 for the initial inventory of food and paper products. These costs do not include utility deposits, installation of telephones, business licenses or cleaning supplies, which are not substantial.
- **(9)** These figures are an estimate of your operating expenses for the initial 3 months of business. They include payroll, taxes, insurance, food, paper, supplies, utilities, licenses and permits, bank charges and repair and maintenance expenses. They do not include advertising contributions or royalty fees paid to CJR. These figures are estimates, and CJR cannot guarantee that you will not incur additional expenses in connection with starting the business. Your costs will depend on factors including: the size of your Franchised Restaurant; how closely

Question 53

Considering the initial investment for a Carls Jr. franchise in Item 7 and the ongoing rent or lease payments, what is the total cost of real estate for the franchisee over the term of the franchise agreement?

Accepted Answer

If Franchisee has not previously provided CJR with a fully-signed copy of its lease or sublease for the Franchised Location, or proof that Franchisee has purchased the real estate for the Franchised Location, Franchisee shall immediately upon execution of this Agreement provide CJR with a copy of the fully-signed lease or sublease, together with the executed Carl's Jr. Lease Addendum in the form attached as Appendix G. For purposes of this Agreement, the effective date of the lease or sublease, or the closing date of the purchase of the real property, shall be the "Property Control Date".

Franchisee assumes all cost, liability and expense for developing, constructing and equipping the Franchised Restaurant. CJR will furnish to Franchisee prototypical plans and specifications for a Carl's Jr. Restaurant, including requirements for dimensions, design, image, interior layout, decor, fixtures, equipment, signs, furnishings, storefront and color scheme. It shall be Franchisee's responsibility to have prepared all required construction plans and specifications to suit the shape and dimensions of the Franchised Location and Franchisee must ensure that these plans and specifications comply with applicable ordinances, building codes and permit requirements and with lease requirements and restrictions. Franchisee shall use only registered architects, registered engineers, and professional and licensed contractors.

Question 54

Considering the initial investment for a Carls Jr. franchise in Item 7 and the ongoing technology fees in Item 6, what is the total cost of technology and computer systems for the franchisee over the term of the franchise agreement?

Accepted Answer

ht to modify or waive the training required based on individual's or your experience. As described in Item 5, a fee is charged to provide the FMTP to additional individuals. The FMTP will include restaurant training at a Carl's Jr. Restaurant designated by us and training on Star University (StarU), our online Learning Management System.

In addition, we also provide you with access to our Learning Management System called Star University (StarU). Star University is a management platform which is used for the administration, tracking and reporting of learning and development programs. Currently, the fee associated with the use of this program is \$14 per fiscal period (as defined by us, currently a 4-week accounting period), but we reserve the right to increase the fee in the future. In addition, you will be required to sign the Star University License Agreement (the current form is attached as Appendix I to the Franchise Agreement). The fee is paid to us but we pass this entire fee to a third-party vendor to help facilitate the training environment. The use of Star University requires certain high-speed internet and hardware and such costs will be solely your responsibility. Star University is a required training tool for your Franchised Restaurant.

You will be required to pay all travel, living and other expenses incurred by you and your employees while attending the training.

Question 55

As of December 29, 2024, how many Sonic Drive-In restaurants were franchised versus company-owned, and how does this compare to the franchise/company-owned ratio for Dunkin' and Jimmy John's, and potentially Carls Jr.?

Accepted Answer

-branded franchised Dunkin' restaurants operating internationally.

**Jimmy John's** is a franchisor of restaurants operating under the Jimmy John's® trade name and business system that feature high-quality deli sandwiches, fresh baked breads, and other food and beverage products. Jimmy John's became an Affiliated Program through an acquisition in October 2016 and became part of Inspire Brands by merger in 2019. As of December 29, 2024, there were 2,689 Jimmy John's restaurants operating in the United States (2,647 franchised and 42 affiliate-owned). Of those 2,689 restaurants, 2,668 were singled-branded Jimmy John's restaurants and 21 were Jimmy John's restaurants

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operating at multi-brand locations. Additionally, as of December 29, 2024, there were five franchised Jimmy John's restaurants operating internationally.

**Sonic** is the franchisor of Sonic Drive-In® restaurants, which serve hot dogs, hamburgers and other sandwiches, tater tots and other sides, a full breakfast menu and frozen treats and other drinks. Sonic became an Affiliated Program through an acquisition in December 2018. Sonic has offered franchises for Sonic restaurants since May 2011. As of December 29, 2024, there were 3,461 Sonic Drive-Ins operating in the United States (3,144 franchised and 317 company-owned), including one multi-brand location.

**Inspire International** has, directly or through its predecessors, offered and sold franchises outside the United States for the following brands: Arby's restaurants (since May 2016), Buffalo Wild Wings sports bars (since October 2019), Jimmy John's restaurants (since November 2022), and Sonic restaurants (since November 2019).

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–20)

Question 56

As of December 31, 2024, how many franchised Mathnasium centers were operating outside the United States and Canada, and how does this compare to Carls Jr.?

Accepted Answer

1, 2013. As of January 27, 2025, there were 50 company-operated Carl's Jr. restaurants and there were 982 domestic franchised Carl's Jr. restaurants, including 218 Dual Concept restaurants. Dual Concept Restaurants are quick service Carl's Jr. Restaurants that also offer certain Green Burrito Mexican food

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products. In addition, as of January 27, 2025, there were the following international franchised Carl's Jr. Restaurants: American Samoa – 1; Australia – 28; Cambodia – 6; Canada – 18; Chile – 28; Denmark – 16; Dominican Republic – 1; Ecuador – 26; France – 6; Guatemala – 4; India – 3; Japan – 4; Malaysia – 5; Mexico – 408; New Zealand – 18; Nicaragua – 4; Panama – 12; People's Republic of China – 4; Puerto Rico – 2; Russia – 17; Singapore – 4; Spain – 44; Switzerland – 3; and Turkey – 22. (American Samoa and Puerto Rico are considered to be international locations even though they are U.S. territories.) We do not engage in any other business or offer franchises in any other line of business.

Our predecessor is Carl Karcher Enterprises, Inc., a California corporation incorporated on February 7, 1966, whose principal place of business was 6307 Carpinteria Avenue, Carpinteria, California 93013.

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–20)

Question 57

Does the FDD mention how many franchised Auntie Anne's shops there were in the United States as of December 31, 2024, and how does this compare to Carls Jr.?

Accepted Answer

**Auntie Anne's** franchises Auntie Anne's® shops that offer soft pretzels, lemonade, frozen drinks, and related foods and beverages. In November 2010, the Auntie Anne's system became affiliated with GoTo Foods through an acquisition. Auntie Anne's predecessor began offering franchises in January 1991. As of December 31, 2024, there were 1,182 franchised and 11 affiliate-owned Auntie Anne's shops in the United States and 815 franchised Auntie Anne's shops outside the United States.

HR is a Delaware limited liability company formed on January 30, 2013, whose principal place of business is the same as ours. As of January 27, 2025, there were 202 company-operated Hardee's restaurants, and there were 1,369 domestic franchised Hardee's restaurants, including 129 Dual Concept restaurants. Dual Concept Restaurants are quick service Hardee's Restaurants that also offer certain Red Burrito Mexican food products. In addition, as of January 27, 2025, there were the following international franchised Hardee's Restaurants: Bahrain – 17; Egypt – 41; Iraq – 12; Jordan – 4; Kazakhstan – 19; Kenya – 1; Kuwait – 60; Oman – 13; Pakistan – 30; Palestine – 5; Qatar – 24; Saudi Arabia – 146; United Arab Emirates – 98; and Uzbekistan – 3. HR has not engaged in any other business or offered franchises in any other line of business.

**Affiliated Franchise Programs.** Through control with private equity funds managed by Roark Capital Management, LLC, we are affiliated with the following franchise programs (**"Affiliated Programs"**). None of these affiliates operates a Carl's Jr. franchise.

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–20)

Question 58

Does the FDD mention how many franchised Take 5 outlets there were as of December 28, 2024, and how does this relate to Carls Jr.?

Accepted Answer

ed CARSTAR facilities and no company-owned facilities operating in the United States.

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**Take 5** franchises motor vehicle centers that offer quick service, customer-oriented oil changes, lubrication and related motor vehicle services and products. Take 5 commenced offering franchises in March 2017, although the Take 5 concept started in 1984 in Metairie, Louisiana. As of December 28, 2024, there were 432 franchised Take 5 outlets and 710 affiliate-owned Take 5 outlets operating in the United States.

**Abra** franchises repair and refinishing centers that offer high quality auto body repair and refinishing and auto glass repair and replacement services at competitive prices.

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–20)

Question 59

Does the FDD specify if Carls Jr. licenses independent third parties to operate franchises on military bases, similar to Cinnabon?

Accepted Answer

ppes outside the United States.

**Cinnabon** franchises Cinnabon® bakeries that feature oven-hot cinnamon rolls, as well as other baked treats and specialty beverages. It also licenses independent third parties to operate domestic and international franchised Cinnabon® bakeries and Seattle's Best Coffee® franchises on military bases in the United States and in certain international countries, and to use the Cinnabon trademarks on products dissimilar to t

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–20)

Question 60

What are the Carls Jr. franchisee's obligations regarding advertising and promotion in Item 9, and how do these obligations relate to the franchisor's advertising programs described in Item 11?

Accepted Answer

es, room, board and compensation of CJR's employees or designees involved in the audit or inspection. The foregoing remedies shall be in addition to all other remedies and rights available to CJR under this Agreement or applicable law.

If Franchisee fails to provide CJR on a timely basis with the records, reports and other information required by this Agreement or, upon request of CJR, with copies of same, CJR or its designee shall have access at all reasonable times (and as often as necessary) to Franchisee's books and records for the purpose, among other things, of preparing the required records, reports and other information. Franchisee promptly shall reimburse CJR or its designee for all costs and expenses associated with CJR obtaining such records, reports or other information. Franchisee also acknowledges that CJR has the right at any time to communicate directly with Franchisee's lenders, any other creditors, any suppliers and all regulatory authorities regarding Franchisee, Franchisee's business or any aspect of the Franchised Restaurant.

#### **8. ADVERTISING AND PROMOTION**

#### **A. Contributions/Expenditures by Franchisee**

During the term of this Agreement, Franchisee shall have a weekly advertising and promotion obligation ("APO") in the amount set forth in Section 6.C. and Appendix C. Following written notice to Franchisee, CJR may modify the amount and allocation of the APO subject to the provisions of Section 8.F. Franchisee shall pay, at the same time and in the same manner as the royalty fee, that portion of the APO as CJR may direct to the Production Fund in accordance with Section 8.B. The remainder of the APO shall be paid, at the same time and in the same manner as the royalty fee, to the Media Fund in accordance with Section 8.C.

#### **B. Production Fund**

CJR has established, and will maintain and administer a fund for the creation and development of advertising, marketing, social media and public relations, research and related programs, gift card and loyalty programs, activities and materials that CJR, in its sole discretion, deems appropriate ("Production Fund"). Franchisee shall contribute to the Production Fund the amount set forth in Appendix C, as subsequently modified pursuant to Section 8.F. Carl's Jr. Restaurants operated by CJR and its affiliates shall contribute to the Production Fund on the same basis as comparable franchisees.

CJR or its designee shall direct all advertising, marketing, social media and public relations programs and activities financed by the Production Fund, with sole discretion over the creative concepts, materials and endorsements used in those programs and activities, and the geographic, market and media placement and allocation of advertising and marketing materials. Franchisee agrees that the Production Fund may be used among other things to pay the costs of preparing and producing such associated materials and programs as CJR or its designee may determine, including but not limited to video, audio and written advertising materials; employing advertising or activation agencies; administering regional and multiregional advertising programs, including, without limitation, purchasing direct mail, in-App support for third party delivery platforms like Doordash and other media advertising and employing advertising

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agencies to assist with these efforts; and supporting public relations, market research and other advertising, promotional and marketing activities.

Question 61

What are the Carls Jr. franchisee's obligations regarding site selection in Item 9, and how does this relate to the site selection assistance provided by the franchisor in Item 11?

Accepted Answer

| Obligation |  | Section in Franchise Agreement (FA) and Development Agreement (DA) | Disclosure Document Item |
|---|---|---|---|
| a. | Site selection and acquisition/lease | FA: Section 3 DA: Sections 3-5 | Items 7 & 11 |

We do not select the site for your Franchised Restaurant. You select the site for your Franchised Restaurant subject to our acceptance. As noted in Item 1, you should not acquire any interest in a site for your Franchised Restaurant until you have been approved as a franchisee (or, if you already are a franchisee, until you have been approved for expansion) and we have accepted the site in writing. We generally do not own the Franchised Restaurant premises and lease them to franchisees.

Before you open your Franchised Restaurant, we will:

- **1.** Provide you with the following site selection assistance: **(A)** CJR's site selection guidelines and, as you may request, a reasonable amount of consultation with respect thereto; and **(B)** such on-site evaluation as we may deem advisable as part of our evaluation of your request for site acceptance. (Development Agreement, § 5.B and Franchise Agreement § 4.B.)
- **2.** We will advise you in writing within 45 days after receipt of all documents that we require whether we have accepted a particular site; however, we have no obligation to review any development proposal if you or your affiliates are not in full compliance with all agreements with us or our affiliates. If we do not respond within that time period, we will be deemed not to have accepted the site. (Development Agreement, § 5.D and Franchise Agreement § 4.D.)

For each proposed site for a Franchised Restaurant, you will, if requested by us, submit a Franchise Site Application to us. In addition, you may have to submit a complete real estate package (containing that information as we may reasonably require) for a proposed site, which you reasonably believe conforms to our then-current site selection criteria, including demographic characteristics, traffic patterns, parking, character of the neighborhood, competition from other businesses in the area, the proximity to other businesses (including restaurants operated or franchised by CJR or our affiliates), the nature of other businesses in proximity to the site and other commercial characteristics (including the purchase price, rental obligations and other lease terms for the proposed site) and the size, appearance, other physical characteristics, and a site plan of the premises. Within 30 days after receipt of these documents, and any information which CJR may reasonably require, we will advise you in writing whether we have accepted a particular site; however, CJR has no obligation to review any development proposal if you or your affiliates are not in full compliance with all agreements with CJR or its affiliates. If we do not respond within that time period, we will be deemed not to have accepted the site. Our acceptance or refusal to accept a site for the Franchised Restaurant may be subject to reasonable conditions as determined in our sole discretion.

We may refuse to accept a site for a proposed Franchised Restaurant unless you demonstrate sufficient financial capabilities, in our sole judgment, applying standards consistent with criteria we use to establish Carl's Jr. Restaurants in other comparable market areas, to properly develop, operate and maintain the Franchised Restaurant. Therefore, you also must furnish us with such financial statements and other information regarding you and the development and operation of the proposed Franchised Restaurant, including, without limitation, investment and financing plans for the proposed Franchised Restaurant, as we reasonably may require.

Question 62

What are the Carls Jr. franchisee's obligations regarding the use of the franchisor's computer systems in Item 9, and how do these obligations relate to the franchisor's support for those systems as described in Item 11?

Accepted Answer

her evaluation of such supplier. We may periodically require that the testing and/or facility audit be performed again at your expense to ensure continued compliance with our specifications and facility standards. We will advise you in writing if we revoke any approvals.

You must obtain and install data processing equipment, computer hardware, required dedicated telephone and power lines, high speed Internet connections, modems, printers and other computer related accessory or peripheral equipment as we may specify in the OPM or otherwise in writing ("Computer/POS System"), as further explained in Item 11. Current approved vendors for technology components of the Computer/POS System are PAR Tech, Inc., CrunchTime, QSR Automations, Xenial Xpient (4.0 or higher) and Meraki. Currently, you must use either the PAR Brink (and CrunchTime) POS software or the Xenial Xpient (4.0 or higher) POS software in operating your Franchised Restaurant. You must utilize any

![](_page_38_Picture_0.jpeg)

proprietary software program, system documentation manuals and other proprietary materials provided by us in connection with the operation of the Franchised Restaurant. When we provide proprietary software, we may require that you execute one or more standard form software license or similar agreements and input and maintain in your computer the software programs, data and information as we prescribe. You must purchase from us, at prices and upon terms that we determine, the proprietary software programs, manuals and/or computer-related materials whenever we decide to use new or upgraded programs, manuals and/or materials throughout the Carl's Jr. System. Except as described in Items 6 and 11 with respect to the Digital Tech Fee, Star University Access Fee and Software Support Fee, there are currently no payments to be made to us in connection with these items. You must comply with the Payment Card Industry Data Security Standard ("PCI-DSS") at all times and engage any vendor that we may designate to ensure the security of your data and compliance with PCI-DSS. You must maintain continuous PCI compliance and must attest this to us annually by providing us with a completed and signed PCI Attestation of Compliance.

You must also participate in any online ordering/delivery and loyalty programs that we may establish from time to time with approved vendors and you must comply with the rules and participation criteria applicable to these programs, including our loyalty program. We have currently designated OLO as the sole software platform provider for our online ordering program, Punchh as the sole software platform for our loyalty program, and have partnered with designated service providers for our delivery program.

Question 63

What are the Carls Jr. franchisee's obligations regarding the use of the franchisor's customer loyalty program in Item 9, and how do these obligations relate to the franchisor's management of that program as described in Item 11?

Accepted Answer

You must also participate in any online ordering/delivery and loyalty programs that we may establish from time to time with approved vendors and you must comply with the rules and participation criteria applicable to these programs, including our loyalty program. We have currently designated OLO as the sole software platform provider for our online ordering program, Punchh as the sole software platform for our loyalty program, and have partnered with designated service providers for our delivery program. Under our online ordering/delivery programs, we require you to accept and process specific customer delivery orders and we require you to use all approved third-party delivery service providers, currently Uber Eats, Door Dash, and GrubHub if those delivery service providers operate in your restaurant's serviceable area. We must pre-approve all delivery service providers not already designated as approved under our delivery program. In addition, we must pre-approve all sales recording processes that originate from the delivery service providers. We have the right to modify the participation criteria or discontinue these initiates at any time upon written notice to you. See also Item 11.

CJR has established, and will maintain and administer a fund for the creation and development of advertising, marketing, social media and public relations, research and related programs, gift card and loyalty programs, activities and materials that CJR, in its sole discretion, deems appropriate ("Production Fund"). Franchisee shall contribute to the Production Fund the amount set forth in Appendix C, as subsequently modified pursuant to Section 8.F. Carl's Jr. Restaurants operated by CJR and its affiliates shall contribute to the Production Fund on the same basis as comparable franchisees.

- **3.** We may change or modify the Carl's Jr. System, including modifications to the OPM, required training program, the menu and menu formats, the required equipment, the signage, the building and premises of the Franchised Restaurant (including the trade dress, décor and color schemes), the presentation of the Proprietary Marks, the adoption of new administrative forms and means of reporting and of payment of any monies owed to CJR (including electronic means of reporting and payment) and the adoption and use of new or modified Proprietary Marks or copyrighted materials. (Franchise Agreement, §10.A.)
- **5.** Provide periodic advice and consultation to you in connection with the operation of the Franchised Restaurant as we deem appropriate or necessary. We will provide to you, as we deem appropriate or necessary, our knowledge and expertise regarding the Carl's Jr. System and pertinent new developments, techniques and improvements in the areas of restaurant design, management, system and tools, food and beverage preparation, sales promotion, service concepts, overall restaurant operations, financial metrics, and other areas. We may provide these services through visits by our representatives to the Franchised Restaurant or your offices, the distribution of printed or filmed material or electronic information, meetings or seminars, telephone communications, email communications or other communications. (Franchise Agreement, §12.C.)

Question 64

What are the Carls Jr. franchisee's obligations regarding the use of the franchisor's point-of-sale system in Item 9, and how do these obligations relate to the franchisor's support for that system as described in Item 11?

Accepted Answer

her evaluation of such supplier. We may periodically require that the testing and/or facility audit be performed again at your expense to ensure continued compliance with our specifications and facility standards. We will advise you in writing if we revoke any approvals.

You must obtain and install data processing equipment, computer hardware, required dedicated telephone and power lines, high speed Internet connections, modems, printers and other computer related accessory or peripheral equipment as we may specify in the OPM or otherwise in writing ("Computer/POS System"), as further explained in Item 11. Current approved vendors for technology components of the Computer/POS System are PAR Tech, Inc., CrunchTime, QSR Automations, Xenial Xpient (4.0 or higher) and Meraki. Currently, you must use either the PAR Brink (and CrunchTime) POS software or the Xenial Xpient (4.0 or higher) POS software in operating your Franchised Restaurant. You must utilize any

![](_page_38_Picture_0.jpeg)

proprietary software program, system documentation manuals and other proprietary materials provided by us in connection with the operation of the Franchised Restaurant. When we provide proprietary software, we may require that you execute one or more standard form software license or similar agreements and input and maintain in your computer the software programs, data and information as we prescribe. You must purchase from us, at prices and upon terms that we determine, the proprietary software programs, manuals and/or computer-related materials whenever we decide to use new or upgraded programs, manuals and/or materials throughout the Carl's Jr. System. Except as described in Items 6 and 11 with respect to the Digital Tech Fee, Star University Access Fee and Software Support Fee, there are currently no payments to be made to us in connection with these items. You must comply with the Payment Card Industry Data Security Standard ("PCI-DSS") at all times and engage any vendor that we may designate to ensure the security of your data and compliance with PCI-DSS. You must maintain continuous PCI compliance and must attest this to us annually by providing us with a completed and signed PCI Attestation of Compliance.

You must also participate in any online ordering/delivery and loyalty programs that we may establish from time to time with approved vendors and you must comply with the rules and participation criteria applicable to these programs, including our loyalty program. We have currently designated OLO as the sole software platform provider for our online ordering program, Punchh as the sole software platform for our loyalty program, and have partnered with designated service providers for our delivery program. Under our online ordering/delivery programs, we require you to accept and process specific customer delivery orders and we require you to use all approved third-party delivery service providers, currently Uber Eats, Door Dash, and GrubHub if those delivery service providers operate in your restaurant's serviceable area. We must pre-approve all delivery service providers not already designated as approved under our delivery program. In addition, we must pre-approve all sales recording processes that originate from the delivery service providers. We have the right to modify the participation criteria or discontinue these initiates at any time upon written notice to you. See also Item 11.

We negotiate system-wide contracts with a number of suppliers under which Carl's Jr. Restaurants may purchase products at a negotiated price and terms. Franchisees are entitled to purchase products at the price and terms negotiated by us; however, we reserve the right to limit the number of suppliers who deliver the products at those prices and terms. With respect to equipment, smallwares and supplies, to obtain the negotiated price and to be eligible for certain revenue sharing incentives, you must purchase the equipment, smallwares and supplies from our third-party vendor Wasserstrom Holdings, Inc. and its subsidiaries. There currently are no purchasing or distribution cooperatives. We do not provide material benefits to a franchisee based on the franchisee's purchase of particular products or services or the use of particular suppliers.

Carls_Jr 2025 FDD FAQ