Under what conditions does the amendment to the Chick Fil A Franchise Agreement regarding statements, questionnaires, or acknowledgements become effective?
Chick_Fil_A Franchise · 2025 FDDAnswer from 2025 FDD Document
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- The following is added as a new Section 28.19 to the Franchise Agreement, under the heading entitled "General Provisions":
- 28.19 No Statement, Questionnaire, or Acknowledgement. No statement, questionnaire, or acknowledgment signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or other person acting on behalf of the franchisor. This provision supersedes any other term of any document executed in connection with the franchise.
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- Each provision of this Amendment shall be effective only to the extent that the jurisdictional requirements and any other requirements of the Minnesota Franchise Act, Minn. Stat. §§ 80C.01 through 80C.22, and of the Rules and Regulations promulgated thereunder by the Minnesota Commissioner of Commerce, Minn. Rules §§ 2860.0100 through 2860.9930, with respect to each such
provision, are met independent of and 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)
According to Chick Fil A's 2025 Franchise Disclosure Document, an amendment addresses statements, questionnaires, or acknowledgments signed by a franchisee. Specifically, a new Section 28.19 is added to the Franchise Agreement, titled "No Statement, Questionnaire, or Acknowledgement." This section ensures that no such document signed by the franchisee at the start of the franchise can waive claims under state franchise law, including fraud, or disclaim reliance on statements made by Chick Fil A or its representatives. This provision takes precedence over any conflicting terms in other franchise documents.
However, the effectiveness of this amendment is conditional. For franchisees in California, Hawaii, Minnesota, South Dakota, Virginia, and Wisconsin, each provision of the amendment is effective only if the jurisdictional and other requirements of that state's laws are met independently of the amendment itself. If these state-specific requirements are not met, the amendment has no effect. This means that Chick Fil A must ensure compliance with each state's franchise laws for the amendment to be valid in that state.
This conditionality is important for prospective Chick Fil A franchisees. It highlights that the protections offered by this amendment are not guaranteed and depend on Chick Fil A's adherence to specific state regulations. A franchisee should confirm that Chick Fil A has met all relevant jurisdictional requirements in their state to ensure the amendment is fully enforceable. This also suggests that franchise law is complex and varies by state, so consulting with a franchise attorney is essential to understand your rights and obligations.