factual

Where can I find more detailed information about my obligations as a Chick Fil A franchisee?

Chick_Fil_A Franchise · 2025 FDD

Answer from 2025 FDD Document

Your Franchise Agreement requires you to devote your full time and personal best efforts to operate your franchised Chick-fil-A Restaurant business to attempt to achieve the highest sales and profits possible and to diligently develop and promote the reputation and the goodwill of your franchised Chick-fil-A Restaurant business, Chick-fil-A and CFA Properties' marks. This requirement will, for all practical purposes, require you to directly supervise your franchised Chick-fil-A Restaurant business. As a result, you will have to keep free from conflicting enterprises or any other activities which would interfere with your exertion of your full time and personal best efforts to operate your franchised Chick-fil-A Restaurant business.

In order to become a franchised Operator of his or her first franchised Chick-fil-A Restaurant business, the Operator must sign the Franchise Agreement, including its attached Lease(s), in his or her individual capacity. Chick-fil-A may allow you to assign the Franchise Agreement to a single corporation, limited liability company or other form of business entity then approved by Chick-fil-A, which is formed solely for your convenience of ownership. Under the Assignment and Consent to Assignment Agreement that must be signed as a condition of any assignment, you must be the sole owner of the business entity ("Operator-Owner") and must agree to continue to be personally bound by, and personally liable for the breach of, each and every term and condition of the Franchise Agreement, including its attached Lease(s). Additionally, the Operator-Owner must guarantee the full and faithful performance by the proposed transferee business entity. The proposed transferee business entity must assume all of the obligations of the Operator-Owner as the original Operator under the Franchise Agreement, including its attached Lease(s). The form of Assignment and Consent to Assignment Agreement you and the business entity must sign to confirm your continuing obligations and the business entity's assumption of obligations to enable you to transfer your rights and obligations under the Franchise Agreement as franchisee to a business entity is attached to this Disclosure Document as Exhibit "B-1" for a corporation and Exhibit "B-2" for a limited liability company.

Source: Item 9 — Franchisee's Obligations (FDD pages 49–51)

What This Means (2025 FDD)

According to Chick Fil A's 2025 Franchise Disclosure Document, Item 15 outlines the obligations of the franchisee in operating the franchise business. It states that as a franchisee, you are required to devote your full time and personal best efforts to operate the franchised Chick-fil-A Restaurant business to attempt to achieve the highest sales and profits possible and to diligently develop and promote the reputation and the goodwill of your franchised Chick-fil-A Restaurant business, Chick-fil-A and CFA Properties' marks. This will require you to directly supervise your franchised Chick-fil-A Restaurant business, and you must keep free from conflicting enterprises or any other activities which would interfere with your exertion of your full time and personal best efforts to operate your franchised Chick-fil-A Restaurant business.

The Franchise Agreement requires the franchisee to sign in his or her individual capacity. Chick-fil-A may allow you to assign the Franchise Agreement to a single corporation, limited liability company or other form of business entity then approved by Chick-fil-A, which is formed solely for your convenience of ownership. Under the Assignment and Consent to Assignment Agreement that must be signed as a condition of any assignment, you must be the sole owner of the business entity and must agree to continue to be personally bound by, and personally liable for the breach of, each and every term and condition of the Franchise Agreement, including its attached Lease(s). Additionally, the Operator-Owner must guarantee the full and faithful performance by the proposed transferee business entity.

The proposed transferee business entity must assume all of the obligations of the Operator-Owner as the original Operator under the Franchise Agreement, including its attached Lease(s). The form of Assignment and Consent to Assignment Agreement you and the business entity must sign to confirm your continuing obligations and the business entity's assumption of obligations to enable you to transfer your rights and obligations under the Franchise Agreement as franchisee to a business entity is attached to this Disclosure Document as Exhibit "B-1" for a corporation and Exhibit "B-2" for a limited liability company.

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.