How can Checkers waive an obligation of the franchisee under the franchise agreement?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
18.02 Waiver of Obligations. We and you may by written instrument unilaterally waive or reduce any obligation of the other under this Agreement. Any waiver granted by us shall be without prejudice to any other rights we may have, will be subject to continuing review by us and may be revoked, in our sole discretion, at any time and for any reason, effective upon delivery to you of ten (10) days' prior notice. You and we shall not be deemed to have waived any right reserved by this Agreement by virtue of any custom or practice of the parties at variance with it; any failure, refusal or neglect by you or us to exercise any right under this Agreement (except as provided in Section 18.03) or to insist upon exact compliance by the other with its obligations hereunder; any waiver, forbearance, delay, failure or omission by us to exercise any right, whether of the same, similar or different nature, with respect to other Restaurants; or the acceptance by us of any payments due from you after any breach of this Agreement.
Source: Item 22 — CONTRACTS (FDD pages 91–92)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, Checkers can waive or reduce any obligation of the franchisee under the franchise agreement by a written instrument. This waiver is unilateral, meaning it can be done by Checkers alone.
However, any waiver granted by Checkers is not permanent. It is subject to continuing review and can be revoked at any time, for any reason, at Checkers' sole discretion. Checkers must provide the franchisee with ten days' prior notice before the revocation becomes effective.
The FDD also states that Checkers' failure to enforce any right under the agreement or insist on compliance with obligations does not constitute a waiver of that right. This means that even if Checkers doesn't always enforce a particular rule, they still have the right to enforce it in the future. Similarly, accepting payments from the franchisee after a breach of the agreement does not waive Checkers' right to take action on that breach.