factual

What is the Individual's obligation regarding Checkers' methods of product handling?

Checkers Franchise · 2025 FDD

Answer from 2025 FDD Document

d parties in respect of such purchases, (ii) we and/or our Affiliates, owners, officers or other personnel may have investments in such suppliers, and (iii) we and/or our Affiliates may profit from your purchases from approved suppliers or receive other material consideration from suppliers on account of their dealings with you and other operators of Restaurants.

You must maintain at all times an inventory of approved food products, beverages, ingredients and other products sufficient in quantity, quality and variety to operate the Franchised Restaurant in accordance with our prescribed standards and specifications for Restaurants.

We may conduct market research to determine consumer trends and salability of new food products and services. You agree to cooperate by participating in our market research programs by test marketing new food products and services in the Franchised Restaurant and providing us timely reports and other relevant information regarding such market research. You must purchase a reasonable quantity of such test products and make a reasonable effort to sell them.

9.04 Specifications and Standards. You acknowledge that each and every aspect of the interior and exterior appearance, layout, decor, services, equipment and operation of the Franchised Restaurant is important to us and is subject to our specifications and standards. You agree to comply with all mandatory specifications, standards and operating procedures, as modified at any time and from time to time (whether contained in Operations Manual or any other written communication) relating to the appearance, function, cleanliness or operation of a Restaurant, including: (a) type, quality, taste, weight, dimensions, ingredients, uniformity, and manner of preparation, packaging and sale of food products and beverages; (b) sales

procedures and customer service;

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

What This Means (2025 FDD)

According to the 2025 Checkers Franchise Disclosure Document, franchisees must maintain an inventory of approved food products, beverages, ingredients, and other products. This inventory must be sufficient in quantity, quality, and variety to meet Checkers' standards and specifications for restaurant operations.

Checkers also has the right to conduct market research to explore consumer trends and the potential success of new food products and services. Franchisees are expected to participate in these market research programs by test marketing new items in their restaurants and providing timely reports and relevant information to Checkers. As part of this, franchisees must purchase a reasonable quantity of these test products and make a reasonable effort to sell them to customers.

Furthermore, franchisees are obligated to purchase all food, beverages, supplies, and other products exclusively from suppliers that Checkers has approved. They cannot use any brand or supplier that Checkers no longer approves. If a franchisee wants to use a non-approved brand or supplier, they must notify Checkers and submit all necessary information and samples for approval. Checkers may charge fees to cover the costs of this approval process and will notify the franchisee of their decision within a reasonable time. Checkers can also set procedures for submitting approval requests and impose obligations on suppliers, potentially requiring written agreements. Checkers may also limit the number of approved suppliers or brands for any items.

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.