What is the definition of 'Franchised Restaurant' in the Checkers addendum?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
| THIS FRANCHISE ADDENDUM TO LEASE AGREEMENT (this |
|---|
| "Addendum") is entered into this day of, 20, by and between |
| , a(n) (" Landlord ") and |
| , a(n)(" Tenant ") for the benefit |
| of CHECKERS DRIVE-IN RESTAURANTS, INC., a Delaware corporation |
| (" Franchisor "). |
| WHEREAS, Tenant and Franchisor have executed a Franchise Agreement (the " Franchise Agreement "), pursuant to which Franchisor has granted Tenant the right to establish and operate a [Checkers] Franchised Restaurant at the following location: (the " Premises "); |
Source: Item 22 — CONTRACTS (FDD pages 91–92)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, a 'Franchised Restaurant' is defined within the context of a Franchise Addendum to Lease Agreement. This addendum is an agreement entered into by and between a Landlord and a Tenant for the benefit of Checkers Drive-In Restaurants, Inc., the Franchisor. The Franchise Agreement grants the Tenant (Franchisee) the right to establish and operate a Checkers restaurant at a specific location, referred to as the 'Premises'.
In simpler terms, a 'Franchised Restaurant' refers to a Checkers restaurant that a franchisee is authorized to operate under the terms of the Franchise Agreement. The agreement specifies the location (Premises) where the restaurant will be established and operated. This definition is important because it legally binds the franchisee to operate the Checkers restaurant in accordance with the brand's standards and at the approved location.
This definition ensures that Checkers maintains control over where its franchised locations are established and how they are operated. For a prospective franchisee, this means they must adhere to the location specified in the Franchise Agreement and cannot relocate or operate the restaurant at a different site without prior consent from Checkers. It also restricts the franchisee from using the premises for any purpose other than operating a Checkers restaurant in compliance with the Franchise Agreement.