Does the Checkers FDD state that the franchisor has special expertise in selecting sites?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
ective or bind us. We will use all reasonable efforts to make a site acceptance decision and, if the site is accepted, deliver a site acceptance letter to you, within 30 days after we acknowledge receipt of the complete site report and any other materials we have requested. In deciding whether to accept or reject a site you propose, we may consider such factors as we, in our sole discretion, deem appropriate, including the general location and neighborhood, demographic information, traffic patterns, access, visibility, location of other restaurants and food establishments (including other Restaurants) and size, condition, configuration, appearance and other physical characteristics of the site. You acknowledge and agree that, if we suggest, approve, or give you information regarding a site, our action is not a representation or warranty of any kind, express or implied, of the site's suitability for a Restaurant or any other purpose. We do not represent that we, or any of our Affiliates, owners, employees or agents, have special expertise in selecting sites. Our action indicates only that we believe that the site meets our then acceptable criteria and not that a Restaurant will be profitable or successful at the site.
Source: Item 23 — RECEIPTS (FDD pages 92–384)
What This Means (2025 FDD)
According to Checkers's 2025 Franchise Disclosure Document, Checkers does not claim to have special expertise in site selection. The FDD explicitly states that any suggestions, approvals, or information provided by Checkers regarding a site should not be interpreted as a representation or warranty of the site's suitability for a restaurant. Checkers only indicates that a site meets its acceptable criteria at that time, not that the restaurant will be profitable or successful.
Checkers emphasizes that the criteria used for site selection may not accurately reflect the potential of all sites, and demographic or other factors could change, affecting a site's potential. The company states that these factors are beyond their control, and they are not responsible if a suggested or approved site fails to meet the franchisee's expectations.
Therefore, Checkers advises potential franchisees to conduct their own independent investigation to determine if a site is suitable for a Checkers restaurant. This means the franchisee bears the ultimate responsibility for assessing the location's viability and potential profitability, regardless of any input or approval from Checkers.