factual

As a Checkersrallys franchisee, am I allowed to make any agreements, warranties, or representations in the franchisor's name?

Checkersrallys Franchise · 2025 FDD

Answer from 2025 FDD Document

Nothing contained in this Agreement, or arising from the conduct of the parties hereunder, is intended to make either party a general or special agent, joint venturer, partner or employee of the other for any purpose whatsoever. You must conspicuously identify yourself in all dealings with customers, lessors, contractors, suppliers, public officials, personnel and others as the owner of development rights granted hereunder and must place such other notices of independent ownership on such forms, business cards, stationery, advertising and other materials as we require at any time and from time to time.

Source: Item 23 — RECEIPTS (FDD pages 92–384)

What This Means (2025 FDD)

According to the 2025 Checkersrallys Franchise Disclosure Document, as a franchisee, you are an independent contractor and not an agent, joint venturer, partner, or employee of Checkersrallys for any purpose. This means you do not have the authority to act on behalf of Checkersrallys or make agreements, warranties, or representations in their name. You must conduct your business in a way that clearly distinguishes it as independently owned and operated. This protects Checkersrallys from potential liabilities arising from your actions and ensures that customers and other parties understand that you are a separate entity.

The FDD specifies that you must conspicuously identify yourself as the owner of the development rights granted to you in all dealings with customers, lessors, contractors, suppliers, public officials, personnel, and others. You are also required to place notices of independent ownership on forms, business cards, stationery, advertising, and other materials as Checkersrallys requires. This reinforces the separation between your business and the Checkersrallys brand, clarifying that you are responsible for your own operations and obligations.

This requirement is standard practice in franchising, where franchisees operate independently under the franchisor's brand. By maintaining this distinction, Checkersrallys can protect its brand reputation and avoid being held liable for the actions of its franchisees. It is crucial for you as a Checkersrallys franchisee to adhere to these guidelines to ensure compliance with the franchise agreement and to avoid any potential legal issues.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.