Does Checkers provide any warranty regarding the suitability of a suggested or approved site?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
ective or bind us. We will use all reasonable efforts to make a site acceptance decision and, if the site is accepted, deliver a site acceptance letter to you, within 30 days after we acknowledge receipt of the complete site report and any other materials we have requested. In deciding whether to accept or reject a site you propose, we may consider such factors as we, in our sole discretion, deem appropriate, including the general location and neighborhood, demographic information, traffic patterns, access, visibility, location of other restaurants and food establishments (including other Restaurants) and size, condition, configuration, appearance and other physical characteristics of the site. You acknowledge and agree that, if we suggest, approve, or give you information regarding a site, our action is not a representation or warranty of any kind, express or implied, of the site's suitability for a Restaurant or any other purpose. We do not represent that we, or any of our Affiliates, owners, employees or agents, have special expertise in selecting sites. Our action indicates only that we believe that the site meets our then acceptable criteria and not that a Restaurant will be profitable or successful at the site.
Source: Item 23 — RECEIPTS (FDD pages 92–384)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, Checkers does not provide any representation or warranty regarding the suitability of a site, even if they suggest, approve, or provide information about it. This means that Checkers is not liable if a location they recommend does not perform as expected.
Checkers states that they do not represent having special expertise in site selection and that their approval only indicates the site meets their criteria at that time. They do not guarantee profitability or success at the site. The criteria Checkers uses may not accurately reflect the potential of all sites, and demographic or other factors could change, affecting a site's potential.
The FDD emphasizes that the franchisee's decision to develop and operate a Checkers restaurant at any site is based solely on their own independent investigation of the site's suitability. This places the responsibility of assessing the location's viability on the franchisee, who should conduct thorough due diligence before committing to a site.
This disclaimer is a common practice in franchising, as franchisors cannot guarantee the success of a location due to various external factors. Prospective Checkers franchisees should carefully consider this and conduct their own market research and analysis to determine if a suggested or approved site is appropriate for their business goals.