Does the Checkersrallys agreement create a fiduciary relationship between the franchisor and franchisee?

According to Checkersrallys's 2025 Franchise Disclosure Document, the franchise agreement explicitly states that the relationship between Checkersrallys and its franchisees is that of independent contractors, and the agreement does not create any fiduciary relationship or any other relationship of trust or confidence. This means Checkersrallys is not legally obligated to act in the franchisee's best interest.

Checkersrallys retains the right to make decisions and take actions that may affect the franchisee's interests, whether favorably or adversely, as long as those actions are not specifically prohibited by the franchise agreement. Checkersrallys can operate and change its business system without regard to whether those changes benefit individual franchisees, and Checkersrallys will not be liable to the franchisee for such decisions.

This arrangement is typical in franchising, where the franchisor sets standards and makes decisions for the benefit of the entire system. However, it's crucial for prospective Checkersrallys franchisees to understand that Checkersrallys's interests and the franchisee's interests may not always align. Franchisees should carefully review the franchise agreement and seek legal counsel to fully understand their rights and obligations.