In the Checkersrallys Development Agreement, what is the date signed by the franchisor referred to as?
Checkersrallys Franchise · 2025 FDDAnswer from 2025 FDD Document
| This Development Agreement ("Agreement") is made and entered into by and between | |
|---|---|
| CHECKERS DRIVE-IN RESTAURANTS, INC. ("Franchisor", "we" or "us"), a Delaware | |
| corporation, with its principal place of business located at 4300 West Cypress Street, Suite 600, | |
| Tampa, Florida 33607 and | ("Area |
| Franchisee" or "you"), a(n) | whose principal |
| address is | , as of |
| the date signed by us and set forth opposite our signature on this Agreement (the "Effective | |
| Date"). |
Source: Item 23 — RECEIPTS (FDD pages 92–384)
What This Means (2025 FDD)
According to Checkersrallys's 2025 Franchise Disclosure Document, the date signed by the franchisor in the Development Agreement is referred to as the "Effective Date." This date is significant because it marks the commencement of the agreement between Checkers Drive-In Restaurants, Inc. and the franchisee. The franchisee's principal address is also documented as of this date.
The Effective Date is a critical reference point for several key aspects of the Development Agreement. For example, the term of the agreement starts on the Effective Date, and the franchisee's obligations to open restaurants within the Development Area are tied to timelines established with reference to this date. Furthermore, Checkersrallys retains the right to operate or franchise other Checkers or Rally's-branded restaurants within the Development Area, except for those already open or under commitment to open as of the Effective Date.
Understanding the Effective Date is crucial for prospective Checkersrallys franchisees as it sets the stage for their developmental obligations and the overall timeline of their investment. Franchisees should pay close attention to this date and how it relates to their responsibilities and the franchisor's rights within the Development Agreement.