What is the Checkers franchisee's obligation if Checkers decides to modify or discontinue use of any Mark?

According to the 2025 Checkers Franchise Disclosure Document, if Checkers decides to modify or discontinue the use of any of its Marks, franchisees must comply with Checkers' directions within a reasonable time after receiving notice. This includes adhering to any changes Checkers makes to its trademarks, service marks, or trade dress.

This obligation means that Checkers franchisees must be prepared to adapt their restaurant's branding and marketing materials to reflect any changes mandated by the franchisor. This could involve updating signage, menus, advertising, and other promotional items to align with the new branding. Franchisees need to be flexible and responsive to these changes to maintain a consistent brand image across the Checkers system.

It's important to note that Checkers assumes no liability or obligation for any costs associated with modifying or discontinuing a Mark, or for promoting a substitute trademark, service mark, or trade dress. This means the franchisee will likely bear the financial burden of implementing these changes, which could include expenses for new signage, marketing materials, and other related costs. Prospective franchisees should factor in these potential expenses when evaluating the overall investment required to operate a Checkers franchise.

This clause highlights the importance of a strong relationship between Checkers and its franchisees. Clear communication and reasonable timeframes for implementing changes are essential to ensure a smooth transition and minimize any potential disruption to the franchisee's business. Franchisees should seek clarification from Checkers regarding the typical costs and timeframes associated with such changes to better prepare for these situations.