Who must manage a Checkersrallys Franchised Restaurant if not the franchisee or Operating Partner?
Checkersrallys Franchise · 2025 FDDAnswer from 2025 FDD Document
The Franchised Restaurant at all times must be under the direct, on-premises supervision of you (or your Operating Partner), or otherwise a manager-level employee other than you (or your Operating Partner) that you appoint and authorize to conduct day-to-day business activities at the Franchised Restaurant, either of whom must (a) have sufficient experience (in our sole opinion) in the operation of a quick service restaurant; and (b) have successfully completed our initial training program to our satisfaction. Your Operating Partner will be required to sign our Nondisclosure and Non-Competition Agreement, but we do not require manager-level employees to sign our Nondisclosure and Non-Competition Agreement. Your manager-level employee is not required to own equity in you.
Source: Item 15 — OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS (FDD pages 64–65)
What This Means (2025 FDD)
According to Checkersrallys's 2025 Franchise Disclosure Document, if the franchisee or the Operating Partner does not directly supervise the Franchised Restaurant, then a manager-level employee can be appointed to manage the restaurant. This appointed manager must be authorized to conduct day-to-day business activities at the Franchised Restaurant.
This manager-level employee must have sufficient experience, in Checkersrallys's opinion, in the operation of a quick-service restaurant. Additionally, this manager must have successfully completed Checkersrallys's initial training program to the franchisor's satisfaction.
Unlike the Operating Partner, the manager-level employee is not required to own equity in the franchise and is not required to sign a Nondisclosure and Non-Competition Agreement. The franchisee (or the Operating Partner) remains responsible for all employment decisions, including hiring, firing, remuneration, personnel policies, training, benefits, and maintaining supervision and discipline, regardless of whether they received advice from Checkersrallys on any of these subjects.