factual

Under what condition are transfer fees collectable for a Chick Fil A franchise in Washington?

Chick_Fil_A Franchise · 2025 FDD

Answer from 2025 FDD Document

This provision supersedes any other term of any document executed in connection with the franchise.

    1. Prohibitions on Communicating with Regulators. Any provision in the Franchise Agreement or related agreements that prohibits the franchisee from communicating with or complaining to regulators is inconsistent with the express instructions in the Franchise Disclosure Document and is unlawful under RCW 19.100.180(2)(h).
    1. Advisory Regarding Franchise Brokers. Under the Washington Franchise Investment Protection Act, a "franchise broker" is defined as a person that engages in the business of the offer or sale of franchises. A franchise broker represents the franchisor and is paid a fee for referring prospects to the franchisor and/or selling the franchise. If a franchisee is working with a franchise broker, franchisees are advised to carefully evaluate any information provided by the franchise broker about a franchise.
    1. Each provision of this Amendment shall be effective only to the extent, with respect to such provision, that the jurisdictional and other requirements of the Washington Franchise Investment Protection Act, §§ 19.100.010 through 19.100.940, are met independently without reference to this Amendment. This Amendment shall have no force or effect if such jurisdictional or other requirements are not met.

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

What This Means (2025 FDD)

The 2025 Chick Fil A Franchise Disclosure Document includes an addendum for prospective franchisees in Washington state. This addendum addresses franchise regulations specific to Washington, particularly concerning communication with regulators and franchise brokers.

Specifically, the FDD states that any provision in the Franchise Agreement or related agreements that prohibits the franchisee from communicating with or complaining to regulators is inconsistent with the express instructions in the Franchise Disclosure Document and is unlawful under RCW 19.100.180(2)(h). This means Chick Fil A franchisees in Washington have the right to communicate with regulatory bodies without fear of penalty, regardless of what the standard franchise agreement might say.

The document also advises franchisees in Washington to carefully evaluate any information provided by franchise brokers due to the regulations defined under the Washington Franchise Investment Protection Act. However, the excerpt does not specify any transfer fees related to the transfer of a Chick Fil A franchise in Washington.

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.