What governing documents must a limited liability company Chicken Guy franchisee furnish to Chicken Guy?
Chicken_Guy Franchise · 2025 FDDAnswer from 2025 FDD Document
If Franchisee is a limited liability company, copies of Franchisee's Articles of Organization, Management Agreement, other governing documents and any amendments, including the resolution of the Managers authorizing entry into and performance of this Agreement, and all agreements, including buy/sell agreements, among the members have been furnished to Chicken Guy.
When any of these governing documents are modified or changed, Franchisee promptly shall provide copies to Chicken Guy.
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to Chicken Guy's 2025 Franchise Disclosure Document, if a franchisee is a limited liability company, they must furnish copies of several documents to Chicken Guy. These include the Franchisee's Articles of Organization, Management Agreement, and other governing documents, along with any amendments to these documents.
Additionally, the franchisee must provide the resolution of the Managers authorizing entry into and performance of the Franchise Agreement. All agreements among the members, including buy/sell agreements, must also be furnished to Chicken Guy.
Furthermore, when any of these governing documents are modified or changed, the franchisee is required to promptly provide copies of the updated documents to Chicken Guy. This ensures that Chicken Guy has current information regarding the ownership and management structure of its franchisees.
This requirement is typical in franchising, as it allows Chicken Guy to maintain oversight and ensure compliance with the franchise agreement. It also allows Chicken Guy to assess the financial and operational stability of its franchisees, which is crucial for the overall success of the Chicken Guy system.