Under what condition, related to applicable law, will Checkers not make an assignment of the agreement?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
If any applicable law requires a greater prior notice of the termination of or refusal to enter into a successor franchise than is required hereunder, a different standard of "good cause", or the taking of some other action not required hereunder, the prior notice, "good cause" standard and/or other action required by such law shall be substituted for the comparable provisions hereof.
Source: Item 22 — CONTRACTS (FDD pages 91–92)
What This Means (2025 FDD)
According to the 2025 Checkers Franchise Disclosure Document, if any applicable law requires a greater prior notice of the termination of or refusal to enter into a successor franchise than is required in the agreement, a different standard of "good cause", or the taking of some other action not required in the agreement, the prior notice, "good cause" standard and/or other action required by such law shall be substituted for the comparable provisions of the agreement.
In simpler terms, this means that Checkers will adhere to local and state franchise laws that provide more protection to the franchisee than what is written in the franchise agreement. This ensures that Checkers franchisees receive all the rights and benefits mandated by applicable laws, even if the franchise agreement has conflicting terms.
This clause is a standard practice in franchising, intended to ensure compliance with franchise laws that vary from state to state. It protects the franchisee by ensuring that the most favorable legal provisions apply, regardless of what the franchise agreement initially states. Prospective franchisees should be aware of the specific franchise laws in their state and how they interact with the franchise agreement.