factual

Is Checkers or NPF, Inc. required to seek advice from Checkers franchisees regarding advertising programs?

Checkers Franchise · 2025 FDD

Answer from 2025 FDD Document

Neither we nor NPF, Inc. have created an advisory council and we and NPF, Inc. are not obligated to seek the advice of owners of Restaurants, including franchisees, by formal (e.g., advisory council or other representative body) or informal means with respect to the creative concepts and media used for programs financed by the NPF. However, because we value input from the franchise network, we (and/or NPF, Inc.) may choose to seek such advice from operators of Restaurants, and so have established a Franchisee Advisory Council that includes a marketing subcommittee. We appoint the members of the Franchisee Advisory Council, which includes both "Checkers" and "Rally's" franchisees. We have the right to change or dissolve these groups.

Currently, NPF, Inc. directs all programs that the NPF finances, including the creative concepts, materials, and endorsements used and their geographic, market, and media placement and allocation.

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 46–57)

What This Means (2025 FDD)

According to Checkers' 2025 Franchise Disclosure Document, neither Checkers nor NPF, Inc. is legally obligated to seek advice from franchisees regarding advertising programs. This means Checkers has the authority to make all advertising decisions without formal input from franchisees.

However, Checkers values input from its franchise network and may choose to seek advice from restaurant operators. To facilitate this, Checkers has established a Franchisee Advisory Council, which includes a marketing subcommittee. The members of this council are appointed by Checkers, and the company retains the right to change or dissolve these groups. This council includes both "Checkers" and "Rally's" franchisees.

NPF, Inc. currently directs all programs financed by the NPF, including creative concepts, materials, endorsements, and their placement. While franchisee input is not required, the existence of the Franchisee Advisory Council and marketing subcommittee suggests that Checkers is open to considering franchisee perspectives on advertising matters. A prospective franchisee should recognize that Checkers ultimately controls advertising decisions, but may be able to influence those decisions through participation in the advisory council.

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.