What is the condition for Checkers to approve a site for a Checkers restaurant?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
es.
In consideration of our acceptance of the Premises, you and your Owners release us, and our Affiliates, officers, directors, employees and agents from any and all loss, damage and liability arising from or in connection with the selection and/or acceptance of the Premises for development as a Restaurant.
Selection of Premises. If you have suggested a location for the Franchised Restaurant which we have approved before or concurrently with the execution of this Agreement, the Premises will be set forth on Exhibit B. If we and you have not agreed upon an approved location for the Franchised Restaurant before signing this Agreement, then you are responsible for selecting the site for the Franchised Restaurant within the geographic area described in Exhibit B ("Designated Area"). The Designated Area is delineated for the sole purpose of site selection and does not confer any territorial exclusivity or protection. You agree to obtain our written approval of the Franchised Restaurant's proposed site before signing any lease, sublease, or other document for the site. Within one hundred eighty (180) days after the Effective Date, you must locate and submit for our approval a site acceptable to us within the Designated Area for the Franchised Restaurant. We will use reasonable efforts to help analyze your market area, to help determine site feasibility, and to assist in designating the location, although we will not conduct site selection activities for you. We will not unreasonably withhold our approval of a site that meets our criteria for demographic characteristics; traffic patterns; parking; character of neighborhood; competition from, proximity to, and nature of other businesses; other commercial characteristics; and the proposed site's size, appearance, and other physical characteristics.
You agree to send us a description of the proposed site, including a summary of the items listed above, along with a letter of intent or other evidence confirming your favorable prospects for obtaining the proposed site. We will use reasonable efforts to approve or disapprove the proposed site within thirty (30) days after receiving your written proposal. If we do not approve of a proposed site, you must identify and notify us of new sites until we approve a site for the Franchised Restaurant. Upon our approval of a site, we will insert its address into Exhibit B, and it will be the Premises. The failure to insert such address into in Exhibit B shall not automatically affect the enforceability of this Agreement. If, after expending good faith best efforts (as we determine in our sole judgment), you are unable to locate a site acceptable to us within the Designated Area for the Franchised Restaurant within the prescribed time period under this Section, then you may request an extension of time to locate an acceptable site within the Designated Area, which we may grant to you in our sole discretion. If we grant you such an extension, you must pay us a nonrefundable extension fee of Five Thousand Dollars ($5,000) as a condition to our granting such extension.
Source: Item 22 — CONTRACTS (FDD pages 91–92)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, if a franchisee has not agreed upon an approved location for the Franchised Restaurant before signing the agreement, the franchisee is responsible for selecting the site within the designated geographic area described in Exhibit B. The franchisee must obtain Checkers' written approval of the proposed site before signing any lease or sublease. Within 180 days after the effective date of the franchise agreement, the franchisee must locate and submit a site acceptable to Checkers within the designated area.
Checkers will use reasonable efforts to help analyze the franchisee's market area, determine site feasibility, and assist in designating the location, but will not conduct site selection activities for the franchisee. Checkers will not unreasonably withhold approval of a site that meets its criteria for demographic characteristics, traffic patterns, parking, character of neighborhood, competition, proximity to other businesses, commercial characteristics, and the site's physical characteristics.
If the franchisee suggests a location that Checkers approves, this approval isn't a representation or warranty of the site's suitability for a restaurant or any other purpose. Checkers does not represent that they have special expertise in selecting sites, and their approval only indicates that the site meets their then-acceptable criteria. The success of the Franchised Restaurant at the Premises is not guaranteed by Checkers' approval of the site.