Is there any restriction on the right of Carls Jr. to assign the franchise contract?

According to Carls Jr.'s 2025 Franchise Disclosure Document, there are no restrictions on the company's right to assign the franchise agreement. This means that Carls Jr. has the freedom to transfer its rights and obligations under the franchise agreement to another party without needing the franchisee's consent.

For a prospective franchisee, this signifies that the entity they initially contracted with may change during the term of the agreement. The new entity would then assume the responsibilities of the franchisor. This transfer could occur for various reasons, such as a merger, acquisition, or corporate restructuring.

While the franchisee does not have the power to prevent this assignment, the new franchisor is still bound by the terms and conditions of the original franchise agreement. It is important for franchisees to understand this aspect of the agreement, as it introduces the possibility of dealing with a different management structure and business practices under a new franchisor.