Does Checkers rely on the statements made by the franchisee in their franchise application?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
- 1.03 Your Representations. You, and your Owners, if applicable, represent and warrant to us, that: (a) neither you nor any of your Owners has made any untrue statement of any material fact or has omitted to state any material fact in obtaining the rights granted hereunder; (b) neither you nor any of your Owners has any direct or indirect legal or beneficial interest in any business that may be deemed a
Competitive Business, except as otherwise completely and accurately disclosed in your franchise application submitted to us; and (c) the execution and performance of this Agreement will not violate any other agreement to which you or of any of your Owners may be bound. You recognize that we have approved your franchise application in reliance on all of the statements you and your Owners have made in connection therewith.
Source: Item 22 — CONTRACTS (FDD pages 91–92)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, Checkers does rely on the statements made by the franchisee and their owners in the franchise application. Specifically, Checkers states that it approves a franchise application based on the statements made within it.
The FDD emphasizes that neither the franchisee nor their owners should make any untrue statements of material fact or omit any material fact when obtaining franchise rights. They must also disclose any direct or indirect legal or beneficial interest in any business that could be deemed a competitive business. Furthermore, the execution and performance of the Franchise Agreement must not violate any other agreement to which the franchisee or their owners are bound.
This reliance underscores the importance of honesty and accuracy in the franchise application process. Any misrepresentation or omission could have legal ramifications and potentially jeopardize the franchise agreement. Prospective franchisees should carefully review their application and ensure all information provided is truthful, accurate, and complete.