factual

What specific section regarding injunctive relief in the Chicken Guy Franchise Agreement is deleted and replaced for Minnesota franchisees?

Chicken_Guy Franchise · 2025 FDD

Answer from 2025 FDD Document

5. Injunctive Relief. Section 21.B.(1)(i) is deleted and replaced with the following statement:

Franchisee's use or duplication of the System or any part of the System in any other business would constitute an unfair method of competition, for which Chicken Guy would be entitled to all legal and equitable remedies, including the right to seek injunctive relief.

Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 40–46)

What This Means (2025 FDD)

According to the 2025 Chicken Guy Franchise Disclosure Document, for franchisees in Minnesota, Section 21.B.(1)(i) of the Franchise Agreement, which pertains to injunctive relief, is deleted and replaced. The replacement states that if a franchisee uses or duplicates the Chicken Guy system or any part of it in another business, it would be considered an unfair method of competition. In such a case, Chicken Guy would be entitled to all legal and equitable remedies, including the right to seek injunctive relief.

This modification means that Chicken Guy is explicitly asserting its right to seek immediate court intervention (injunctive relief) if a franchisee in Minnesota is found to be unfairly competing by using the Chicken Guy system in another business. Injunctive relief is a court order that requires a party to cease a specific action, in this case, the unauthorized use of the Chicken Guy system.

For a prospective franchisee in Minnesota, this clause highlights the importance of adhering strictly to the terms of the Franchise Agreement and not engaging in any activities that could be construed as unfair competition. It also clarifies Chicken Guy's legal recourse in the event of such a breach, which could lead to swift legal action and potential financial repercussions for the franchisee.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.