What constitutes a breach of the Chick Fil A agreement by the Operator?
Chick_Fil_A Franchise · 2025 FDDAnswer from 2025 FDD Document
The Operator will comply with and perform all the terms, conditions and covenants of the Franchise Agreement, as amended by this Agreement.
A breach of any of the terms, conditions or covenants of the Franchise Agreement by the Operator will constitute a breach of this Agreement.
Neither the Operator nor its employees, agents, contractors or invitees will perform any act, neglect to perform any duty or fail to comply with any standard of conduct, with respect to the franchised Businesses and/or with respect to the Delivery Kitchen Unit, that would constitute a violation of this Agreement, the DK Lease, the Franchise Agreement, or Chick-fil-A's then-current Minimum Standards and Guidelines, as modified from time to time.
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- Cross-Default. Any violation or breach by the Operator-Owner of any term or condition of the Assignment or the Franchise Agreement, including without limitation the provisions contained in this Agreement (including the Food Truck License Summary and the Food Truck Lease), will also constitute a violation and breach of the same term or condition by the Operator, a default by the Operator under the Assignment and the Franchise Agreement and, under its terms, grounds for termination and/or non-renewal of the Franchise Agreement and the franchise granted under the Franchise Agreement.
Source: Item 23 — Receipts (FDD pages 103–600)
What This Means (2025 FDD)
According to Chick Fil A's 2025 Franchise Disclosure Document, a breach of the Franchise Agreement by the Operator can occur in several ways. The Operator must comply with all terms, conditions, and covenants outlined in the Franchise Agreement, as amended. Any failure to do so constitutes a breach of the agreement. This obligation extends to any amendments made to the Franchise Agreement.
Furthermore, the Operator is responsible for ensuring that their employees, agents, contractors, and invitees also adhere to the standards of conduct required. Any action or failure to act by these parties that violates the Franchise Agreement, the DK Lease (if applicable for a Delivery Kitchen Unit), or Chick-fil-A's Minimum Standards and Guidelines also constitutes a breach. This encompasses all aspects of operating the franchised business and/or the Delivery Kitchen Unit, ensuring compliance with Chick-fil-A's operational standards.
The Operator-Owner also has obligations. Any violation or breach by the Operator-Owner of any term or condition of the Assignment or the Franchise Agreement, including the provisions contained in the agreement, will also constitute a violation and breach of the same term or condition by the Operator. This would be considered a default by the Operator under the Assignment and the Franchise Agreement and, under its terms, grounds for termination and/or non-renewal of the Franchise Agreement and the franchise granted under the Franchise Agreement.