factual

Does the Checkers franchise agreement specify any limitations on the franchisor's ability to modify invalid or unenforceable provisions?

Checkers Franchise · 2025 FDD

Answer from 2025 FDD Document

If any provision of this Agreement or any specification, standard or operating procedure prescribed by us is invalid or unenforceable under applicable law, we have the right, in our sole discretion, to modify such invalid or unenforceable provision, specification, standard or operating procedure to the extent required to make it valid and enforceable.

Source: Item 22 — CONTRACTS (FDD pages 91–92)

What This Means (2025 FDD)

According to the 2025 Checkers Franchise Disclosure Document, Checkers retains the right to modify any provision, specification, standard, or operating procedure within the franchise agreement that is deemed invalid or unenforceable under applicable law. This modification is at Checkers' sole discretion, but it is limited to the extent required to make the provision valid and enforceable.

This clause ensures that the franchise agreement remains compliant with changing laws and regulations. It allows Checkers to adapt the agreement without needing to renegotiate the entire contract with each franchisee. However, it also means that Checkers has the power to unilaterally change aspects of the agreement if they are found to be unenforceable, which could potentially alter the franchisee's rights or obligations.

For a prospective Checkers franchisee, this implies a degree of flexibility—or potential uncertainty—in the terms of their franchise agreement. While the modifications are intended to ensure enforceability, franchisees should be aware that changes could occur during the term of their agreement. It is advisable to seek legal counsel to understand the implications of this clause and how it might affect their specific circumstances. Franchisees should also maintain open communication with Checkers to stay informed of any modifications and their rationale.

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.