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Under what conditions can a Carls Jr. franchisee relocate the franchised restaurant without paying an additional initial franchise fee or transfer fee?

Carls_Jr Franchise · 2025 FDD

Answer from 2025 FDD Document

m for new franchised restaurants.

  • (6) Franchisee, all individuals who executed this Agreement and all guarantors of Franchisee's obligations must execute a general release and a

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

What This Means (2025 FDD)

Based on the 2025 Carls Jr. Franchise Disclosure Document excerpts provided, there is no information regarding the specific conditions under which a franchisee can relocate their franchised restaurant without incurring additional initial franchise fees or transfer fees. The excerpts do discuss transfer fees in general, stating that if Carls Jr. consents to a transfer, the transferor must pay a nonrefundable transfer fee not exceeding $2,500 per franchised restaurant. However, this relates to transferring the franchise to a new owner, not relocating the restaurant.

While the excerpts cover various aspects of the franchise agreement, such as renewal terms, obligations, and fees, they do not address the scenario of relocation. The documents outline the initial obligations related to site selection, construction, and adherence to brand standards, but they do not specify the process or costs associated with moving an existing restaurant to a new location.

Therefore, a prospective Carls Jr. franchisee should directly inquire with the franchisor about the policies and procedures regarding restaurant relocation. Specifically, they should ask about any potential fees, required approvals, and conditions that must be met to relocate a franchised Carls Jr. restaurant without incurring additional costs.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.