factual

What is the 'Concession Agreement' that Chick Fil A is a party to, and where can it be found in the FDD?

Chick_Fil_A Franchise · 2025 FDD

Answer from 2025 FDD Document

Chick-fil-A is currently a party to a certain concession agreement attached as Exhibit C as it may be amended from time to time together with all its exhibits and schedules (the "Concession Agreement") with the third party owner or manager of the Site identified in the Concession Agreement ("Concessionor").

Under the Concession Agreement, Concessionor granted Chick-fil-A the right to conduct a restaurant business and/or a license to operate one or more Chick-fil-A concessions at the Site, consisting of the concession location(s) identified in the data sheet attached as Exhibit A as it may be amended from time to time (individually and collectively, the "Concession Location(s)").

The Site is sometimes also referred to in this Agreement as the "Concession Location(s)."

Source: Item 23 — Receipts (FDD pages 103–600)

What This Means (2025 FDD)

According to Chick Fil A's 2025 Franchise Disclosure Document, the 'Concession Agreement' is an agreement between Chick-fil-A and a third-party owner or manager of a site, referred to as the 'Concessionor.' This agreement, along with its exhibits and schedules, grants Chick-fil-A the right to operate a restaurant business or concessions at the site. The specific location of these concessions is detailed in the data sheet attached as Exhibit A, which may be amended. The Concession Agreement itself is attached as Exhibit C to the agreement.

This agreement allows Chick Fil A to operate in non-traditional locations such as airports, malls, or universities, where the primary control of the property is held by another entity. For a prospective franchisee, this means that the terms of their operation may be influenced not only by Chick-fil-A's standard franchise agreement but also by the stipulations within the Concession Agreement between Chick-fil-A and the Concessionor.

It is important for a potential Chick Fil A franchisee to understand how the Concession Agreement might affect their business. The FDD cautions operators against relying on any representations not included in the Lease, Franchise Agreement, or the FDD itself, emphasizing the importance of reviewing all attached exhibits and incorporated documents. This ensures that the franchisee is fully aware of all obligations and rights pertaining to the operation of their Chick-fil-A restaurant within the concession location.

Therefore, prospective Chick Fil A operators should carefully examine Exhibit C, the Concession Agreement, along with Exhibit A, the data sheet specifying the concession locations, to fully understand the scope and limitations of operating a Chick-fil-A restaurant under such an agreement. Understanding these details is crucial for making an informed decision about entering into a franchise agreement for a concession-based Chick-fil-A location.

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.