Does Checkersrallys require franchisees to sign an electronic payment authorization agreement?
Checkersrallys Franchise · 2025 FDDAnswer from 2025 FDD Document
The counterparts of this Agreement and all ancillary documents executed or delivered in connection with this Agreement may
be executed and signed by electronic signature by any of the parties to this Agreement, and delivered by electronic or digital communications to any other party to this Agreement, and the receiving party may rely on the receipt of such document so executed and delivered by electronic or digital communications signed by electronic signature as if the original has been received. For the purposes of this Agreement, electronic signature means, without limitation, an electronic act or acknowledgement (e.g., clicking an "I Accept" or similar button), sound, symbol (digitized signature block), or process attached to or logically associated with a record and executed or adopted by a person with the intent to sign the record.
Source: Item 22 — CONTRACTS (FDD pages 91–92)
What This Means (2025 FDD)
Based on the 2025 FDD excerpts, it is not possible to determine whether Checkersrallys requires franchisees to sign an electronic payment authorization agreement. While the documents discuss electronic signatures in general, they do not specifically mention any agreement related to electronic payments.
The excerpts provided focus on the use of electronic signatures for agreements and addenda, defining an electronic signature as an electronic act, acknowledgement, sound, symbol, or process attached to a record and executed with the intent to sign. This indicates Checkersrallys's willingness to accept electronic signatures on documents such as addenda and the franchise agreement itself. However, this does not confirm whether a separate electronic payment authorization agreement is required.
A prospective Checkersrallys franchisee should directly ask the franchisor whether an electronic payment authorization agreement is a standard requirement. If such an agreement exists, the franchisee should request a copy and carefully review its terms, including the scope of authorization, security measures, and cancellation procedures.