What is the purpose of Chicken Guy's periodic inspections of the Franchised Restaurant?

According to Chicken Guy's 2025 Franchise Disclosure Document, the purpose of periodic inspections is to assist the franchisee's operations and ensure compliance with the Chicken Guy system. Chicken Guy will inspect the Franchised Restaurant and its operations.

Chicken Guy, or its designees, has the right to inspect the Franchised Location at any reasonable time and without prior notice. These inspections aim to determine whether the franchisee and the restaurant are complying with the franchise agreement, specifications, quality standards, and operating procedures. During these inspections, Chicken Guy can observe, photograph, and videotape the restaurant's operations, remove samples for testing, interview personnel and customers, and inspect and copy records related to the restaurant's operation.

Following each inspection, Chicken Guy will provide a report detailing the franchisee's score and any deficiencies that need correction. The franchisee must then take immediate steps to rectify these deficiencies, which may include ceasing the sale of unauthorized menu items or discontinuing the use of non-conforming equipment or supplies. Failure to achieve a passing score can lead to mandatory additional management training and, potentially, termination of the franchise agreement if the franchisee fails to improve after a subsequent inspection.