Where in the Checkersrallys Franchise Agreement can I find details regarding the 'Grant of Franchise'?
Checkersrallys Franchise · 2025 FDDAnswer from 2025 FDD Document
2. GRANT OF RIGHTS.
2.01 Grant of Franchise.You have applied for a franchise to own and operate a Restaurant at a location we approve, which will be identified on Exhibit B (the "Premises"). Subject to the terms of this Agreement, we grant to you the right, and you assume the obligation, to operate a Restaurant at the Premises and to use the System solely in connection therewith, for a term of twenty (20) years, starting on the Effective Date (the "Term"). You may not conduct the business of the Franchised Restaurant or use the System at any site other than the Premises, or relocate the Franchised Restaurant, without our prior consent. The Franchised Restaurant may not be used for any purpose other than the operation of a Restaurant in compliance with this Agreement. You may conduct business only with customers at the Franchised Restaurant and may not engage in any catering or delivery businesses without or prior consent which may be withheld for any reason.
Source: Item 22 — CONTRACTS (FDD pages 91–92)
What This Means (2025 FDD)
According to Checkersrallys's 2025 Franchise Disclosure Document, details regarding the grant of franchise can be found in Section 2.01 of the Franchise Agreement. This section outlines that Checkersrallys grants the franchisee the right and obligation to operate a restaurant at an approved location, which is specified in Exhibit B, also known as the "Premises".
The grant of franchise is subject to the terms outlined in the agreement, and it extends for a term of twenty (20) years, beginning on the effective date. The franchisee is restricted to conducting business and using the Checkersrallys system solely at the specified premises. Relocation or operation of the franchised restaurant at any other site requires prior consent from Checkersrallys.
Furthermore, the agreement specifies that the franchised restaurant must be used only for operating a Checkersrallys restaurant in compliance with the agreement. Franchisees are permitted to conduct business only with customers at the franchised restaurant and may not engage in catering or delivery services without prior consent from Checkersrallys, which may be withheld for any reason.