In the context of the Chick Fil A Delivery Kitchen Agreement, who is designated as the 'Operator'?
Chick_Fil_A Franchise · 2025 FDDAnswer from 2025 FDD Document
(e) "DK Lease" means the written delivery kitchen agreement between Chick-fil-A and a third party owner, operator or manager of the premises where a "Delivery Kitchen Unit" (as defined below) is located pursuant to which the owner, operator or manager of the premises grants Chick-fil-A a lease or license to conduct a delivery kitchen restaurant business at the premise. If Chick-filA offers a license to the Operator to operate a Business as a Delivery Kitchen Unit, which Chick-fil-A is not obligated to do, Chick-fil-A and the Operator will enter into a written delivery kitchen agreement pursuant to which Chick-fil-A subleases or sublicenses, as applicable, its rights and privileges under the particular DK Agreement, and the Operator accepts the sublease or sublicense as applicable and agrees to faithfully perform Chick-fil-A's obligations under the DK Lease (the "Delivery Kitchen Agreement") that governs the Operator's occupancy and use of the particular Delivery Kitchen Unit premises. To the extent granted to Operator by Chick-fil-A, the Delivery Kitchen Agreement attaches the particular DK Lease for the particular Delivery Kitchen Unit as an exhibit. Chick-fil-A does not license an Operator to operate a Delivery Kitchen Unit as an Initial Business. In the case of an Additional Business under this Agreement that is a Delivery Kitchen Unit, the Delivery Kitchen Agreement and its attached DK Lease for the Additional Business that is the Delivery Kitchen Unit is attached as Exhibit "A" to the applicable Additional Business Amendment for Delivery Kitchen and incorporated in and made a part of this Agreement by this reference. To the extent granted to Operator by Chick-fil-A, the Delivery Kitchen Agreement and its attached DK Lease is incorporated in and made a part of this Agreement by this reference;
Source: Item 23 — Receipts (FDD pages 103–600)
What This Means (2025 FDD)
According to Chick Fil A's 2025 Franchise Disclosure Document, the 'Operator' in the context of the Delivery Kitchen Agreement refers to the individual or entity that Chick-fil-A may offer a license to, for operating a Business as a Delivery Kitchen Unit. Chick-fil-A is not obligated to offer this license. If Chick-fil-A does offer the license, a written Delivery Kitchen Agreement is entered into, where Chick-fil-A subleases or sublicenses its rights under the DK Lease, and the Operator accepts this sublease or sublicense. The Operator then agrees to perform Chick-fil-A's obligations under the DK Lease, governing their occupancy and use of the Delivery Kitchen Unit premises.
This agreement is attached as an exhibit to the Delivery Kitchen Agreement, outlining the specific DK Lease for that Delivery Kitchen Unit. It's important to note that Chick-fil-A does not initially license an Operator to run a Delivery Kitchen Unit as their first business. Instead, this opportunity arises as an Additional Business under the existing Franchise Agreement. In such cases, the Delivery Kitchen Agreement and its attached DK Lease are included as Exhibit "A" to the Additional Business Amendment for Delivery Kitchen, becoming an integral part of the overall agreement.
For a prospective Chick Fil A franchisee, this means that the opportunity to operate a Delivery Kitchen Unit is typically offered to existing, successful Operators as an expansion of their current franchise operations. The Operator is responsible for fulfilling Chick-fil-A's obligations under the DK Lease, ensuring compliance with operational standards and maintaining the quality and service expected of a Chick-fil-A establishment. The Delivery Kitchen Agreement and its associated DK Lease are critical documents that outline the Operator's rights, responsibilities, and the terms of their occupancy and use of the Delivery Kitchen Unit premises.