Can Chicken Guy change or improve the System?
Chicken_Guy Franchise · 2025 FDDAnswer from 2025 FDD Document
| SEC | TION | PAGE | |
|---|---|---|---|
| 1. | GRANT OF I | FRANCHISE | 2 |
| 2. | TERM | 3 | |
| 3. | DEVELOPM | ENT PROCEDURES | 5 |
| 4. | LEASE PRO | VISIONS | 7 |
| 5. | CONSTRUC' | TION OF THE FRANCHISED RESTAURANT | 8 |
| 6. | OPENING O | F THE FRANCHISED RESTAURANT | 11 |
| 7. | FEES | 12 | |
| 8. | RECORDKE | EPING AND REPORTS | 14 |
| 9. | ADVERTISI | NG | 15 |
| 10. | MANUAL | 19 | |
| 11. | MODIFICAT | TONS OF THE SYSTEM | 20 |
| 12. | TRAINING | 21 | |
| 13. | ADDITIONA | L SERVICES BY CHICKEN GUY | 22 |
| 14. | PERFORMA | NCE STANDARDS AND UNIFORMITY OF OPERATION | 23 |
| 15. | PROPRIETA | RY MARKS | 30 |
| 16. | INSURANCE | 3 | 32 |
| 17. | ORGANIZA | ΓΙΟΝ OF FRANCHISEE | 35 |
| 18. | TRANSFERS | BY CHICKEN GUY | 38 |
| 19. | TRANSFERS | S BY FRANCHISEE | 38 |
| 20. | GENERAL R | ELEASE | 42 |
| 21. | COVENANT | 'S | 43 |
| 22. | TERMINATI | ON | 45 |
| 23. | OBLIGATIO | NS ON TERMINATION OR EXPIRATION | 48 |
| 24. | OPTION TO | PURCHASE | 49 |
| 25. | RELATIONS | HIP OF THE PARTIES | 52 |
| 26. | INDEMNIFIC | CATION | 52 |
| 27. | CONSENTS, | APPROVALS AND WAIVERS | 53 |
| 28. | NOTICES | 53 | |
| 29. | ENTIRE AGI | REEMENT | 54 |
| 30. | SEVERABIL | ITY AND CONSTRUCTION | 54 |
| 31. | DISPUTES | 54 | |
| 32. | MISCELLAN | VEOUS | 57 |
| 33. | REPRESENT | TATIONS | 58 |
| EXHIBIT A EXHIBIT B: EXHIBIT C: RIDER 1: | GUARANTEE AND ASSUMPTION OF FRANCHISEE'S OBLI ADDENDUM TO LEASE AGREEMENT ACH AUTHORIZATION FORM FRANCHISE AGREEMENT EXPIRATION DATE | GATIONS |
CHICKEN GUY! RESTAURANT FRANCHISE AGREEMENT
THIS AGREEMENT is made as of the Effective Date identified on the attached Data Sheet (the "Effective Date") by and between Chicken Guy (Franchisor), LLC ("Chicken Guy"), a Florida limited liability company, and the person(s) or entity identified on the attached Data Sheet ("Franchisee").
RECITALS:
As a result of the expenditure of time, skill, effort and money, Chicken Guy has developed and owns a unique and distinctive system ("System") relating to the development, establishment and operation of fast casual restaurants ("Chicken Guy! Restaurants").
The distinguishing characteristics of the System include, without limitation, uniform and distinctive exterior and interior design and layout, including specially designed décor and furnishings; special recipes and menu items; procedures and techniques for food and beverage preparation and service; automated management information and control systems for inventory controls, cash controls and sales analysis; technical assistance and training through course instruction and manuals; and advertising and promotional programs. The System and its components may be changed, improved and further developed by Chicken Guy from time to time.
Pursuant to a License Agreement with Chicken Concept, LLC ("Licensor"), Chicken Guy has the right to use, and permit its franchisees to use, the name and mark "Chicken Guy!" in addition to certain related trademarks, service marks and other commercial symbols.
Chicken Guy identifies the System by means of the "CHICKEN GUY!" name and mark and certain other names, marks, logos, insignias, slogans, emblems, symbols and designs (collectively "Proprietary Marks"), which Chicken Guy has designated, or may in the future designate, for use with the System. The Proprietary Marks used to identify the System, including the principal Proprietary Marks, may be modified by Chicken Guy and/or its affiliates from time to time.
Source: Item 23 — RECEIPTS (FDD pages 50–286)
What This Means (2025 FDD)
According to the 2025 Chicken Guy FDD, Chicken Guy has the ability to change, improve, and further develop the System. The System includes various elements such as restaurant design, recipes, menu items, and operational procedures. Chicken Guy also reserves the right to modify the Proprietary Marks, which are the names, logos, and other symbols associated with the brand.
If a developer creates any new concepts, processes, or improvements related to the Chicken Guy system, they are required to promptly inform Chicken Guy and provide all relevant information. These new developments become the property of Chicken Guy and its affiliates, and Chicken Guy can incorporate them into the System without providing any payment to the developer. The developer must also take any actions deemed necessary by Chicken Guy to ensure that Chicken Guy owns these new concepts, processes, or improvements.
This clause ensures that Chicken Guy maintains control over its brand and operating system, allowing it to adapt and evolve the System as needed. For a prospective franchisee, this means that the System they initially invest in may change over time, and they will need to adapt to these changes. While franchisees can contribute ideas, they relinquish ownership of those ideas to Chicken Guy, who decides whether or not to implement them. This is a fairly standard practice in franchising, as it allows the franchisor to maintain consistency and quality across all locations while also adapting to market changes and innovations.