When does the initial term of the Chick Fil A Food Truck License Agreement end?
Chick_Fil_A Franchise · 2025 FDDAnswer from 2025 FDD Document
Unless earlier terminated as provided in this Agreement, including pursuant to Section 4.e or Section 14 or as stated on the Food Truck License Summary, or pursuant to the Franchise Agreement, or upon the expiration or earlier termination of the Food Truck Lease, the initial term of this Agreement (the "Initial Term") will commence as of the Effective Date of this Agreement and will end on the Thirty-First day of December of the year in which the Effective Date occurs.
The Initial Term, together with any and all extensions of the Initial Term and subject to the rights for earlier termination or expiration pursuant to this Agreement or the Franchise Agreement or the Food Truck Lease, is sometimes referred to in this Agreement as the "Term." Unless this Agreement or the Franchise Agreement or the Food Truck Lease (as defined below) is terminated or expires earlier, the Term of this Agreement will be automatically extended for successive additional periods of one (1) year, unless written notice of intent not to renew either the Franchise Agreement or this Agreement is given by either party to the other at least thirty (30) days prior to the end of the Term; provided, however, that this Agreement may not be renewed if the Operator does not have the right to renew the Franchise Agreement or does not have the right to renew the Franchise Agreement with respect to the Business or the Franchise Agreement is terminated or otherwise not renewed, as provided in Section 2.3 of the Franchise Agreement.
Source: Item 23 — Receipts (FDD pages 103–600)
What This Means (2025 FDD)
According to the 2025 Chick Fil A Franchise Disclosure Document, the initial term of the Food Truck License Agreement concludes on December 31st of the year in which the agreement's effective date falls. This means that if the agreement becomes effective anytime during a given year, the initial term will extend until the end of that same year.
However, the agreement may be terminated earlier under certain conditions outlined in the agreement itself, the Franchise Agreement, or the Food Truck Lease. These conditions include those specified in Section 4.e or Section 14 of the agreement, as stated on the Food Truck License Summary, or upon the expiration or earlier termination of the Food Truck Lease.
Following the initial term, the agreement automatically extends for successive one-year periods unless either party provides written notice of their intent not to renew at least 30 days before the term's end. It is important to note that the Food Truck License Agreement cannot be renewed if the operator loses the right to renew the Franchise Agreement, if the Franchise Agreement is terminated, or if it is not renewed as per Section 2.3 of the Franchise Agreement.