What are the consequences if a Chicken Guy franchisee knowingly falsifies reports to Chicken Guy?

According to Chicken Guy's 2025 Franchise Disclosure Document, if a franchisee knowingly falsifies any report required to be furnished to Chicken Guy, or makes any material misrepresentation in its dealings with Chicken Guy, or fails to disclose any material facts to Chicken Guy, it constitutes a material breach of the franchise agreement.

This breach gives Chicken Guy grounds for terminating the franchise agreement. This means Chicken Guy can end the agreement, and the franchisee would lose the right to operate the Chicken Guy restaurant.

This provision underscores the importance of honesty and transparency in the franchisee-franchisor relationship. Franchisees must ensure the accuracy of all reports and information provided to Chicken Guy to avoid potential termination of their franchise agreement.