Will Checkersrallys be obligated by agreements made by the franchisee with any third party?

According to Checkersrallys's 2025 Franchise Disclosure Document, the franchise agreement explicitly states that nothing within the agreement is intended to confer any rights or remedies to any person or legal entity not directly a party to the agreement. This means that Checkersrallys is not bound by any agreements or contracts that a franchisee independently enters into with third parties.

This provision protects Checkersrallys from being held liable for the franchisee's dealings with suppliers, contractors, customers, or any other third party. The franchisee operates as an independent contractor and is responsible for their own obligations and liabilities. This is a common arrangement in franchising, as it allows the franchisor to maintain control over the brand and system without assuming direct responsibility for the day-to-day operations and obligations of individual franchisees.

For a prospective Checkersrallys franchisee, this clause highlights the importance of understanding that they are solely responsible for their business's debts, contracts, and legal obligations. Franchisees should carefully review all agreements they enter into and ensure they can meet their obligations, as Checkersrallys will not be responsible for these commitments.