What does the franchisee release Checkers from regarding the selection and acceptance of the Premises?

According to Checkers' 2025 Franchise Disclosure Document, the franchisee and their owners release Checkers, its affiliates, officers, directors, employees, and agents from any loss, damage, and liability connected to the selection and/or acceptance of the premises for development as a restaurant. This release is in consideration of Checkers' acceptance of the premises.

This means that once Checkers approves a location, the franchisee assumes the risk related to that location's suitability and potential profitability. Even if Checkers provides information or suggestions regarding a site, this doesn't constitute a warranty of the site's suitability. Checkers explicitly states they don't have special expertise in site selection and that their approval only indicates the site meets their criteria at that time.

Checkers emphasizes that factors influencing a site's potential can change and are beyond their control. Therefore, franchisees are expected to conduct their own independent investigation to determine if the site meets their expectations. This underscores the importance of thorough due diligence on the franchisee's part, including market research, demographic analysis, and assessing the competitive landscape.

This clause protects Checkers from potential lawsuits or claims if a restaurant location underperforms or fails. However, it also places a significant responsibility on the franchisee to carefully evaluate the location and its potential before committing to the franchise. Franchisees should seek professional advice and conduct thorough research to mitigate the risks associated with site selection.