Under what conditions is the Wisconsin Addendum to the Development Agreement for a Carls Jr. franchise executed?
Carls_Jr Franchise · 2025 FDDAnswer from 2025 FDD Document
- 1. The provisions of this Addendum form an integral part of, and are incorporated into, the Development Agreement. This Addendum is being executed because: (A) the offer or sale of a franchise to Developer was made in the State of Wisconsin; (B) Developer is a resident of the State of Wisconsin; and/or (C) part or all of the Development Territory is located in the State of Wisconsin.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 75)
What This Means (2025 FDD)
According to the 2025 Carls Jr. Franchise Disclosure Document, the Wisconsin Addendum to the Development Agreement is executed under specific conditions related to the location and residency of the developer.
The addendum is an integral part of the Development Agreement and is incorporated into it. The Wisconsin Addendum is executed if any of the following conditions are met: the offer or sale of a Carls Jr. franchise to the developer was made in the state of Wisconsin, the developer is a resident of Wisconsin, or part or all of the development territory is located in Wisconsin.
This ensures that the Carls Jr. franchise agreement complies with Wisconsin state laws, particularly the Wisconsin Fair Dealership Law, Chapter 135, Stats., which supersedes any conflicting provisions in the Development Agreement. This law includes requirements for notice of termination, cancellation, non-renewal, or substantial changes in competitive circumstances, providing the franchisee with rights and protections under Wisconsin law.