Does the Chicken Guy franchisee need the Landlord's consent to sell beer and wine?
Chicken_Guy Franchise · 2025 FDDAnswer from 2025 FDD Document
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- Permitted Use: Franchisee shall be permitted to use the Premises for an eat-in/take-out/delivery fast casual restaurant selling chicken tenders, chicken sandwiches, salads, sides, dessert items, beverages and other products sold in restaurants operating under the "CHICKEN GUY!" trade name, including without limitation retail branded merchandise sales, and other ancillary purposes associated therewith, and for no other purpose ("Permitted Use") without Landlord's prior written consent. Provided Franchisee has obtained all necessary licenses and insurance, Tenant shall be allowed to sell beer and wine as part of its Permitted Use.
Source: Item 23 — RECEIPTS (FDD pages 50–286)
What This Means (2025 FDD)
According to the 2025 Chicken Guy FDD, a franchisee is permitted to sell beer and wine as part of their permitted use of the premises, provided they have obtained all necessary licenses and insurance. This means that while the landlord's consent isn't explicitly required for the sale itself, the franchisee must still comply with all applicable legal requirements for selling alcohol.
The 'Permitted Use' clause outlines what the franchisee can use the premises for, and it specifically includes the sale of beverages. The addendum clarifies that selling beer and wine falls under this permitted use, contingent on the franchisee securing the required licenses and insurance. This is a benefit for the franchisee, as it allows them to expand their offerings and potentially increase revenue without needing to seek additional approval from the landlord, assuming they meet the licensing and insurance criteria.
However, it is crucial for prospective Chicken Guy franchisees to understand and comply with all local and state regulations regarding alcohol sales. Obtaining the necessary licenses and insurance can be a complex and time-consuming process, and failure to do so could result in fines, penalties, or even the inability to sell beer and wine. Franchisees should consult with legal and insurance professionals to ensure they meet all requirements before offering these products.