What are the exceptions to the continuous operation requirement for a Chicken Guy franchise?
Chicken_Guy Franchise · 2025 FDDAnswer from 2025 FDD Document
- (4) Franchisee ceases to continuously operate the Franchised Restaurant for a period in excess of 5 consecutive days, unless the closing is due to an act of God, fire or other natural disaster or is approved in writing in advance by Chicken Guy.
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to Chicken Guy's 2025 Franchise Disclosure Document, a franchisee must continuously operate their restaurant. However, there are specific exceptions where the franchisor, Chicken Guy, will not penalize the franchisee for ceasing operations.
Chicken Guy will allow a franchisee to cease continuous operation for a period exceeding 5 consecutive days if the closing is due to an act of God, fire, or other natural disaster. Another exception is if Chicken Guy approves the closing in writing in advance.
Failure to adhere to the continuous operation requirement, without a valid exception, can result in Chicken Guy terminating the franchise agreement without an opportunity for the franchisee to remedy the situation. This underscores the importance of maintaining consistent operations unless unforeseen and uncontrollable events occur or prior written approval is obtained from Chicken Guy.