For Checkersrallys, will political boundary changes or reorganizations after the Effective Date affect the determination of boundaries for the purposes of the agreement?

According to Checkersrallys's 2025 Franchise Disclosure Document, political boundaries are considered fixed as of the Effective Date, meaning that any political reorganization or changes to boundaries or regions after this date will not affect the determination of boundaries for the purposes of the agreement. However, all street boundaries will be deemed to end at the street center unless otherwise specified.

This means that once the franchise agreement is in effect, the defined political boundaries that dictate the franchisee's territory will remain constant, regardless of any subsequent governmental or regional restructuring. This provides a level of certainty for the franchisee, as their territory will not be altered due to external political factors.

For a prospective Checkersrallys franchisee, this clause offers reassurance that their designated area will not be reduced or altered due to political changes. This can be a significant advantage, as it protects their investment and market area from being affected by unforeseen governmental reorganizations. The franchisee can rely on the initial boundary definitions as a stable foundation for their business operations.