Are the fees imposed by Carls Jr. generally refundable to franchisees?

According to the 2025 Carls Jr. Franchise Disclosure Document, the fees imposed by Carls Jr. are generally non-refundable. The FDD states that unless otherwise noted, all fees are imposed by and payable to them, are non-refundable, and are uniformly imposed on franchisees who receive the disclosure document.

This means that a prospective Carls Jr. franchisee should carefully consider all the fees outlined in the FDD, as these are generally not refundable. This includes fees like the Carl's Jr. Renewal Fee, which is $5,000 for a 5-year renewal term or $10,000 for a 10-year term. Other fees, such as costs and attorneys' fees, liquidated damages, collection costs and expenses, relocation fees, and reimbursement of insurance costs, are also likely non-refundable.

It is important for potential franchisees to factor these non-refundable fees into their financial planning and to understand the circumstances under which these fees are incurred. Franchisees should also inquire about any specific fees that might have exceptions to this general rule of non-refundability.