What is the timeframe for Chicken Guy to approve or reject the franchisee's proposed construction plans?
Chicken_Guy Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee shall submit proposed construction plans, specifications and drawings for the Franchised Restaurant ("Plans") to Chicken Guy and shall, upon Chicken Guy's request, submit all revised or "as built" Plans during the course of such construction.
Chicken Guy will approve or refuse to approve the Plans and notify Franchisee within 14 days after Chicken Guy receives the Plans. (Chicken Guy's approval shall not be unreasonably withheld.) Once Chicken Guy has approved the Plans, no substantial change shall be made to the Plans without the prior approval of Chicken Guy, which shall not be unreasonably withheld.
If, in the course of construction, any such change in the Plans is contemplated, Chicken Guy's approval must first be obtained before proceeding.
Chicken Guy shall approve or reject Plan changes within 10 business days after receipt.
If Chicken Guy does not respond within that time period, Chicken Guy shall be deemed to have rejected approval of the Plans.
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to Chicken Guy's 2025 Franchise Disclosure Document, after a franchisee submits proposed construction plans, specifications, and drawings for the Franchised Restaurant, Chicken Guy has 14 days to either approve or reject the plans. Chicken Guy's approval cannot be unreasonably withheld. If any changes to the plans are made during construction, Chicken Guy must approve or reject these changes within 10 business days of receiving them.
It is important to note that if Chicken Guy fails to respond within either the initial 14-day period or the subsequent 10-business-day period for plan changes, the plans are considered rejected. This places the onus on the franchisee to ensure timely follow-up and communication with Chicken Guy during the construction phase.
This process ensures that the restaurant's construction aligns with Chicken Guy's standards and specifications. Franchisees must receive written notification from Chicken Guy approving the plans before starting any site preparation or construction. Failure to comply with approved plans can prevent the restaurant from opening and may lead to termination of the franchise agreement if the non-compliance is not resolved in a timely manner.