Under what conditions can Chick Fil A re-determine the Food Truck Usage Fee?
Chick_Fil_A Franchise · 2025 FDDAnswer from 2025 FDD Document
Chick-fil-A shall have the right from time to time to re-determine the Food Truck Usage Fee in its sole and exclusive business judgment based on the then current fair market rental value for the Food Truck due to additions, subtractions and modifications to the Food Truck, additional or different charges or other changes under the Food Truck Lease, market factors, inflation, passage of time or otherwise, and to update the Food Truck Usage Fee to an amount based on the then determined, current fair market rental, which will be set forth in a revised Food Truck License Summary Form and substituted and attached to this Agreement as Exhibit A and made a part of this Agreement.
Source: Item 23 — Receipts (FDD pages 103–600)
What This Means (2025 FDD)
According to Chick Fil A's 2025 Franchise Disclosure Document, Chick-fil-A has the right to re-determine the Food Truck Usage Fee. This determination is based on Chick-fil-A's sole and exclusive business judgment. Several factors can influence this re-determination, including the current fair market rental value of the Food Truck.
Changes to the Food Truck, such as additions, subtractions, and modifications, can also lead to a re-evaluation of the usage fee. Furthermore, any additional or different charges or changes under the Food Truck Lease can prompt Chick-fil-A to adjust the fee. Other factors considered include general market conditions, inflation, and the passage of time.
If Chick-fil-A decides to re-determine the Food Truck Usage Fee, the updated fee will be based on the then-current fair market rental value. This new fee will be documented in a revised Food Truck License Summary Form, which will then replace the existing Exhibit A attached to the agreement. This revised form becomes an integral part of the agreement, ensuring the franchisee is formally notified of the change.