factual

Can Checkersrallys impose limits on the number of approved suppliers or brands for items used in the Checkersrallys restaurant?

Checkersrallys Franchise · 2025 FDD

Answer from 2025 FDD Document

We may impose limits on the number of suppliers (which may include us or our Affiliates) and/or brands for any of the foregoing items.

Source: Item 22 — CONTRACTS (FDD pages 91–92)

What This Means (2025 FDD)

According to Checkersrallys's 2025 Franchise Disclosure Document, Checkersrallys has the authority to impose limits on the number of approved suppliers and brands for items used in the restaurant. This means that Checkersrallys can restrict the franchisee's choices regarding where they purchase certain products and supplies.

Specifically, Checkersrallys may set limits on the number of suppliers or brands for food products, beverages, ingredients, uniforms, packaging materials, menus, forms, labels, and other supplies. This also extends to equipment, furnishings, fixtures, and signs. Checkersrallys can modify the list of approved suppliers and brands, and franchisees must cease ordering from any supplier or for any brand that is no longer approved after receiving notice of the change.

If a franchisee wishes to use a brand or supplier not already approved, they must seek approval from Checkersrallys by submitting the necessary information, specifications, and samples. Checkersrallys has the right to charge fees to cover the costs of evaluating the proposed brand or supplier. This process ensures that all products and services used in the Checkersrallys restaurant meet the franchisor's standards and specifications, maintaining uniformity and quality across all locations.

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.