Is a Churchs Chicken franchisee expected to conduct an independent investigation of the business?
Churchs_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
30. REPRESENTATIONS
Franchisee represents, acknowledges and warrants to Cajun (and Franchisee agrees that these representations, acknowledgments and warranties shall survive termination of this Agreement) that:
A. This Agreement involves significant legal and business rights and risks. Cajun does not guarantee Franchisee's success. Franchisee has read this Agreement in its entirety, conducted an independent investigation of the business contemplated by this Agreement, has been thoroughly advised with regard to the terms and conditions of this Agreement by legal counsel or other advisors of Franchisee's choosing, recognizes that the nature of the business conducted by Church's Restaurants may change over time, has had ample opportunity to investigate all representations made by or on behalf of Cajun, and has had ample opportunity to consult with current and former franchisees of Cajun. The prospect for success of the business undertaken by Franchisee is speculative and depends to a material extent upon Franchisee's personal commitment, capability and direct involvement in the day-to-day management of the business.
- B. Cajun assumes no liability or responsibility for: (1) evaluation of the Franchised Location's soil for hazardous substances; (2) inspection of any structure on the Franchised Location for asbestos or other toxic or hazardous materials; (3) compliance with the Americans with Disabilities Act or similar state laws ("ADA"); or (4) compliance with any other law.
It is Franchisee's sole responsibility to obtain satisfactory evidence and/or assurances that each Franchised Location (and any structures thereon) is free from environmental contamination and in compliance with the requirements of ADA.
- C. Franchisee shall not rely upon any opinions expressed by Cajun or any of its officers, directors, stockholders, employees or agents regarding structural integrity, safety or construction procedures, building codes or ordinances or other matters properly within the responsibility of Franchisee and its architect.
The duties of Cajun's construction representatives are limited solely to ensuring that development plans and other requirements under this Agreement are met.
Cajun and its employees do not act as an architect or agent of Franchisee.
Source: Item 23 — RECEIPT (FDD pages 68–406)
What This Means (2025 FDD)
According to Churchs Chicken's 2025 Franchise Disclosure Document, franchisees are expected to conduct an independent investigation of the business contemplated by the Franchise Agreement. This acknowledgement is part of the representations and warranties that the franchisee makes to Churchs Chicken, which survive the termination of the agreement.
Churchs Chicken does not guarantee a franchisee's success, and the franchisee must recognize that the nature of the business conducted by Churchs Chicken restaurants may change over time. The franchisee is expected to have ample opportunity to investigate all representations made by or on behalf of Churchs Chicken and to consult with current and former franchisees.
The success of the business depends on the franchisee's personal commitment, capability, and direct involvement in the day-to-day management. Franchisees should not rely on any opinions expressed by Churchs Chicken regarding structural integrity, safety, construction procedures, building codes, or other matters that are properly the responsibility of the franchisee and their architect. It is the franchisee's sole responsibility to obtain satisfactory evidence that each franchised location is free from environmental contamination and complies with the Americans with Disabilities Act (ADA).