What does the Churchs Chicken Development Agreement specify regarding restaurant operation?
Churchs_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
In addition to a Franchise Agreement, you must sign a Development Agreement regardless of the number of Restaurants you commit to develop. A copy of our standard Development Agreement is attached as Exhibit G. Under the Development Agreement, you are granted the right and you accept the responsibility to develop a specific number of Restaurants in a specific geographic area (the "Development Area"). In some instances, we will sign an Amendment to the Development Agreement which provides limited exclusivity for the Development Area. A copy of our standard Amendment to Development Agreement is attached as Exhibit H. The Development Agreement also specifies the number of Restaurants that you must open and operate and the dates by which they must open and be in operation in a development schedule (the "Development Schedule") to the Development Agreement.
Source: Item 1 — THE FRANCHISOR AND ANY PARENTS, PREDECESSORS AND AFFILIATES (FDD pages 7–10)
What This Means (2025 FDD)
According to Churchs Chicken's 2025 Franchise Disclosure Document, the Development Agreement specifies the number of restaurants a developer must open and operate. It also outlines the dates by which these restaurants must open and be in operation, according to a development schedule included in the Development Agreement.
This means that if you sign a Development Agreement with Churchs Chicken, you are committing to a specific plan for opening a certain number of restaurants within a defined timeframe and geographic area. This agreement holds you accountable for meeting those development milestones. The agreement may also grant limited exclusivity for the Development Area.
Prospective franchisees should carefully review the development schedule and ensure they have the resources and capabilities to meet the required opening dates. Failure to adhere to the development schedule could result in penalties or termination of the agreement. It is important to fully understand the obligations and responsibilities outlined in the Development Agreement before signing.