To what standards must a Chicken Guy franchisee renovate their restaurant for renewal?
Chicken_Guy Franchise · 2025 FDDAnswer from 2025 FDD Document
n of the Initial Term.
- (2) If Franchisee desires to continue as a franchisee for the Renewal Term, Franchisee must comply with all of the following conditions prior to and at the end of the Initial Term:
- (a) Franchisee and its affiliates shall not be in default under this Agreement or any other agreements between Franchisee and Chicken Guy or its affiliates; Franchisee shall not be in default beyond the applicable cure period under any real estate lease, equipment lease or financing instrument relating to the Franchised Restaurant; Franchisee shall not be in default beyond the applicable cure period with any vendor or supplier to the Franchised Restaurant; and, for the 12 months before the date of Franchisee's notice and the 12 months before the expiration of the Initial Term, Franchisee and its affiliates shall not have been in default beyond the applicable cure period under this Agreement or any other agreements between Franchisee and Chicken Guy or its affiliates.
- (b) Franchisee shall make the capital expenditures required to renovate and modernize the Franchised Restaurant to conform to the interior and exterior designs, décor, color schemes, furnishings and equipment and presentation of the Proprietary Marks consistent with the image of the System for new Chicken Guy! Restaurants at the time Franchisee provides Chicken Guy the renewal notice, including such structural changes, remodeling, redecoration and modifications to existing improvements as may be necessary to do so.
- (c) Franchisee and its employees at the Franchised Restaurant shall be in compliance with Chicken Guy's then-current training requirements.
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to Chicken Guy's 2025 Franchise Disclosure Document, if a franchisee desires to continue as a franchisee for the renewal term, they must make the capital expenditures required to renovate and modernize the franchised restaurant. This renovation must conform to the interior and exterior designs, décor, color schemes, furnishings, equipment, and presentation of the Proprietary Marks. The standards must be consistent with the image of the Chicken Guy system for new restaurants at the time the franchisee provides Chicken Guy the renewal notice. This includes any structural changes, remodeling, redecoration, and modifications to existing improvements necessary to meet these standards.
Within 60 days after receiving written notice from Chicken Guy regarding the required modernization, the franchisee must prepare and complete drawings and plans for the renovation. These plans must be submitted to and approved by Chicken Guy before any work begins. The franchisee is responsible for completing the required modernization within the timeframe reasonably specified by Chicken Guy in its written notice.
Chicken Guy also has the right to waive, defer, or permit variations from the standard system requirements based on specific site peculiarities, existing building configurations, population density, business potential, trade area population, or any other relevant condition. However, Chicken Guy retains the sole discretion to deny any such request if it believes that granting the variation would not be in the best interests of the Chicken Guy system. This ensures that while some flexibility may be possible, the overall brand image and standards are maintained to protect the system's integrity.