Do Checkers franchisees operating from Non-Traditional Sites receive a Protected Area?

According to Checkers's 2025 Franchise Disclosure Document, franchisees operating Restaurants from Non-Traditional Sites do not receive a Protected Area. For standard Checkers restaurants, the Protected Area is defined as the lesser of a one-mile radius from the center of the restaurant if located in a suburban or rural area, or an area immediately surrounding the premises encompassing a population of 20,000 residents if located in an urban area.

This lack of a Protected Area for Non-Traditional Sites means that Checkers can establish or authorize other restaurants, including those under the Checkers or Rally's brands, at Non-Traditional Sites within or outside the area where a traditional franchisee might otherwise have some territorial protection. Non-Traditional Sites can include locations like airports, universities, or food courts.

For a prospective franchisee considering a Non-Traditional Site, this is a significant factor. It means they could face direct competition from other Checkers or Rally's locations in close proximity, impacting potential revenue and market share. This is a notable difference from the limited protection offered to franchisees with traditional locations, where Checkers agrees not to operate or franchise another restaurant within a defined Protected Area.