What events are considered 'Force Majeure' that could delay the construction of a Chicken Guy franchise?
Chicken_Guy Franchise · 2025 FDDAnswer from 2025 FDD Document
Force Majeure means any act of God, strike, lock-out or other industrial disturbance, war (declared or undeclared), riot, epidemic, fire or other catastrophe, act of any government or other third party and any other cause not within the control of the party affected thereby.
If events constituting Force Majeure cause a delay in the commencement of construction of the Franchised Restaurant, Chicken Guy shall proportionately extend the Opening Deadline (as defined below) for the Franchised Restaurant.
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to Chicken Guy's 2025 Franchise Disclosure Document, a 'Force Majeure' event can cause delays in the construction of a franchised restaurant. These events include acts of God, strikes, lock-outs or other industrial disturbances, declared or undeclared war, riots, epidemics, fire or other catastrophes, acts of any government or other third party, and any other cause not within the control of the affected party. If such an event occurs, Chicken Guy will extend the Opening Deadline proportionately.
This clause protects the franchisee from being penalized for construction delays caused by events outside their control. However, it's important to note that only these specific events qualify for an extension of the opening deadline. Franchisees should carefully document any such events and promptly notify Chicken Guy to ensure proper consideration for an extension.
Chicken Guy also outlines specific deadlines for site approval, construction commencement, and restaurant opening. Failure to meet these deadlines can result in termination of the franchise agreement, although Chicken Guy may extend the opening deadline for unforeseen construction delays not within the franchisee's control. Understanding the definition of 'Force Majeure' is crucial, as it directly impacts the franchisee's ability to meet these deadlines without risking termination.