What does Cajun's acceptance of a site for a Churchs Chicken restaurant signify?
Churchs_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
- B. The acceptance of one or more sites by Cajun and its refusal to accept other sites is not a representation or warranty of any kind that the Authorized Site(s), will achieve a certain sales volume or a certain level of profitability, or that the Authorized Site(s), will have a higher sales volume or be more profitable than a site which Cajun did not accept.
Acceptance by Cajun merely means that the minimum criteria that Cajun has established for identifying suitable sites for proposed Church's Restaurants have been met.
Developer agrees that Cajun's acceptance or rejection of a proposed site, whether or not a site acceptance request is completed and/or submitted to Cajun shall not impose any liability or obligation on Cajun.
The decision to accept or reject a particular site is Developer's, subject to Cajun's acceptance.
Preliminary acceptance of a proposed site by any representative of Cajun is not conclusive or binding, because his or her recommendation may be rejected by Cajun.
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.
- **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, Cajun's acceptance of a site for a proposed Churchs Chicken restaurant signifies only that the site meets the minimum criteria Cajun has established. It is not a representation, warranty, or promise that a Churchs Chicken restaurant at the authorized site will achieve a certain sales volume or level of profitability. Similarly, it is not a representation, warranty, or promise that an authorized site will have a higher sales volume or be more profitable than a site which Cajun did not accept.
Cajun may refuse to accept a site unless the developer demonstrates sufficient financial and operational capabilities to properly develop, operate, and maintain the proposed franchised restaurant. The developer must furnish Cajun with financial statements and other information regarding the developer and the development and operation of the proposed franchised restaurant, including investment and financing plans.
Furthermore, the developer has the final decision to accept or reject a particular site, subject to Cajun's acceptance. Preliminary acceptance of a proposed site by any representative of Cajun is not conclusive or binding, because his or her recommendation may be rejected by Cajun. Within 30 days after Cajun 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.