Within what timeframe after the effective date of termination or expiration must a Checkers franchisee furnish evidence of compliance with post-termination obligations?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
- (h) within thirty (30) days after the effective date of termination or expiration, furnish us evidence satisfactory to us of your compliance with the foregoing obligations.
Source: Item 22 — CONTRACTS (FDD pages 91–92)
What This Means (2025 FDD)
According to Checkers's 2025 Franchise Disclosure Document, a franchisee must furnish evidence of compliance with post-termination obligations within thirty (30) days after the effective date of termination or expiration. These obligations include ceasing the use of all Confidential Information and returning all copies of the Operations Manual and any other confidential materials provided by Checkers.
Additionally, the franchisee must immediately discontinue any mode of communication on the Internet directly or indirectly relating to the franchised restaurant, including any websites or pages associated with the restaurant. They must also take all steps required by Checkers to transfer any domain name associated with the franchised restaurant to Checkers, such as executing a Registrant Name Change Agreement with the applicable Registrar. The franchisee also ceases using all computer software licensed by Checkers or any of its affiliates and comply with obligations under any software license agreements.
This requirement ensures that upon termination or expiration of the franchise agreement, the franchisee takes swift action to protect Checkers's confidential information, brand identity, and online presence. Failing to provide satisfactory evidence of compliance within the specified timeframe could potentially lead to legal repercussions or other enforcement actions by Checkers.