When will Checkersrallys advise the transferee of the specific actions required for upgrades or remodels and the timeframe for completion?
Checkersrallys Franchise · 2025 FDDAnswer from 2025 FDD Document
- (h) the transferee agrees (if the transfer is of this Agreement) to upgrade, remodel, expand and/or remodel the Franchised Restaurant in accordance with our current prescribed plans, specifications and design model for Restaurants (including, without limitation, any modifications or adjustments we authorize and timely introduce for similarly-situated Restaurants, or otherwise incorporate into the System for all franchisees) and to add or replace fixtures, furniture, equipment, signs and supplies in accordance with our then current requirements and specifications for Restaurants within the time period we specify following the effective date of the transfer (we will advise the transferee before the effective date of the transfer of the specific actions that it must take and the time period within which such actions must be taken);
Source: Item 22 — CONTRACTS (FDD pages 91–92)
What This Means (2025 FDD)
According to Checkersrallys's 2025 Franchise Disclosure Document, if a franchisee transfers their franchise agreement to a new owner, Checkersrallys will inform the transferee of required upgrades or remodels. Specifically, Checkersrallys will advise the transferee before the effective date of the transfer regarding the specific actions they must take to upgrade, remodel, or expand the franchised restaurant.
This includes adhering to Checkersrallys's current plans, specifications, and design model. The notification will also include the timeframe within which these actions must be completed. This ensures that the restaurant aligns with the brand's standards and current image after the transfer.
For a prospective franchisee, this means that if they plan to sell their Checkersrallys franchise, the buyer will be informed of any required upgrades before the sale is finalized. This allows the buyer to understand the costs and time commitment involved in meeting Checkersrallys's standards. It also protects Checkersrallys by ensuring that transferred locations maintain a consistent brand image and quality.