What is an 'Authorized Site' in the context of a Churchs Chicken franchise?
Churchs_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
Cajun may refuse to accept a site for a proposed Franchised Restaurant unless Developer demonstrates sufficient financial and operational capabilities, in Cajun's sole judgment to properly develop, operate and maintain the proposed Franchised Restaurant. To this end, Developer shall furnish Cajun with such financial statements and other information and documentation regarding Developer (or its Affiliated Entity) and the development and operation of the proposed Franchised Restaurant, including, without limitation, investment and financing plans for the proposed Franchised Restaurant, as Cajun reasonably may require.
- (3) Cajun's acceptance of one or more sites is not a representation, a warranty or a promise by Cajun that a Church's Restaurant at the Authorized Site will achieve a certain sales volume or a certain level of profitability.
Similarly, Cajun's acceptance of one or more sites and its rejection of other sites is not a representation, warranty or a promise that an Authorized Site will have a higher sales volume or be more profitable than a site which Cajun did not accept.
Cajun assumes no liability or responsibility for: (a) evaluation of an Authorized Site's soil for hazardous substances; (b) inspection of any structure on the Authorized Site for asbestos or other toxic or hazardous materials; (c) compliance with the Americans With Disabilities Act ("ADA"); or (d) compliance with any other applicable law.
It is Developer's sole responsibility to obtain satisfactory evidence and/or assurances that the Authorized Site (and any structures thereon) is free from environmental contamination and complies with the ADA and other applicable laws.
- **D.
Execution of Franchise Agreement.** Within 30 days after Cajun accepts a proposed site for the first Franchised Restaurant developed hereunder (but, if applicable, after expiry of the applicable waiting period following delivery of a franchise disclosure document), Developer shall execute a Franchise Agreement in Cajun's then-current standard form, and pay the Initial Franchise Fee for the Authorized Site.
Source: Item 23 — RECEIPT (FDD pages 68–406)
What This Means (2025 FDD)
According to Churchs Chicken's 2025 Franchise Disclosure Document, an 'Authorized Site' refers to a location that Cajun, the franchisor, has accepted for the development of a franchised restaurant. However, the acceptance of a site does not constitute a guarantee or promise from Churchs Chicken that the restaurant will achieve a certain sales volume or level of profitability. The FDD emphasizes that the success of a Churchs Chicken restaurant depends on the franchisee's efforts, abilities, market conditions, economic factors, and competition.
Churchs Chicken assumes no liability or responsibility for evaluating the site's soil for hazardous substances, inspecting structures for asbestos or other toxic materials, ensuring compliance with the Americans With Disabilities Act (ADA), or compliance with any other applicable law. It is the developer's (franchisee's) sole responsibility to obtain satisfactory evidence that the site is free from environmental contamination and complies with all applicable laws.
Within 30 days after Churchs Chicken accepts a proposed site for the first franchised restaurant, the developer must execute a Franchise Agreement and pay the initial franchise fee for the Authorized Site. This indicates that site approval is a critical step in the franchising process, triggering the finalization of the agreement and the payment of fees. Prospective franchisees should conduct thorough due diligence on potential sites to assess environmental and legal compliance, as Churchs Chicken does not assume responsibility for these factors.