Can the Churchs Chicken Guaranty be transferred without the Sublessor's written consent?

According to the 2025 Churchs Chicken Franchise Disclosure Document, the Guaranty is intended for the benefit of the Sublessor. The document explicitly states that the Guaranty may not be transferred without obtaining prior written consent from the Sublessor. This provision ensures that the Sublessor maintains control over who is guaranteeing the obligations under the sublease agreement.

This requirement protects the Sublessor by preventing the transfer of the Guaranty to an entity that may not be financially stable or capable of fulfilling the obligations outlined in the Guaranty. Without the Sublessor's consent, the Guaranty cannot be assigned to another party, ensuring the original guarantor remains responsible unless the Sublessor agrees otherwise in writing.

For a prospective Churchs Chicken franchisee, this means that if a Guaranty is part of their sublease agreement, they cannot transfer it to another party without first obtaining written approval from the Sublessor. This is a standard practice to safeguard the interests of the Sublessor and maintain the integrity of the sublease agreement. Franchisees should carefully review all terms and conditions related to the Guaranty and ensure they understand the implications of this restriction.