Can a Checkers franchisee rely on verbal approval of a site from a Checkers employee?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
Our site acceptance letter, duly executed by us, is the exclusive means by which we accept a proposed site, and no other direct or indirect representation, approval or acceptance, whether in writing or verbally, by any of our officers, employees or agents, shall be effective or bind us.
Source: Item 23 — RECEIPTS (FDD pages 92–384)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, a franchisee cannot rely on verbal approval of a site from a Checkers employee. The FDD states that the site acceptance letter, duly executed by Checkers, is the exclusive means by which Checkers accepts a proposed site. No other direct or indirect representation, approval, or acceptance, whether in writing or verbally, by any of Checkers' officers, employees, or agents, shall be effective or bind Checkers.
This means that even if a Checkers employee or agent provides verbal or written confirmation of a site's suitability, it is not considered an official acceptance by Checkers. The franchisee must receive a formal site acceptance letter executed by Checkers to consider the site approved. This policy protects Checkers from potential misunderstandings or miscommunications regarding site selection.
This requirement is fairly standard in the franchise industry, as site selection is a critical factor in the success of a franchise. Franchisors typically have specific criteria and processes for evaluating potential locations, and they want to ensure that all approvals are documented and authorized through the proper channels. A prospective Checkers franchisee should ensure they receive the formal site acceptance letter before committing to a location to avoid potential issues or disputes with Checkers.