Under what circumstances will a Churchs Chicken franchisee be required to pay a follow-up inspection fee?
Churchs_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
| TYPE OF FEE1 | AMOUNT | DUE DATE | REMARKS |
|---|---|---|---|
| Follow-up Inspection | Will vary by circumstances | If incurred, on demand | If you fail an inspection conducted by us or our designee, we may require you to reimburse us or our designee for all costs (both out-of-pocket and internal overhead) we incur to conduct a follow-up inspection. |
Source: Item 6 — OTHER FEES (FDD pages 19–24)
What This Means (2025 FDD)
According to Churchs Chicken's 2025 Franchise Disclosure Document, a franchisee will be required to pay a follow-up inspection fee if they fail an inspection conducted by Churchs Chicken or its designee. The franchisee must then reimburse Churchs Chicken or its designee for all costs incurred to conduct the follow-up inspection. These costs include both out-of-pocket expenses and internal overhead.
The amount of the follow-up inspection fee will vary depending on the specific circumstances of the inspection and the costs incurred by Churchs Chicken. The due date for this fee is on demand, meaning that the franchisee is expected to pay the fee when Churchs Chicken requests it.
This policy is fairly standard in the franchise industry, as franchisors often conduct inspections to ensure brand standards and operational compliance are maintained. Requiring franchisees to cover the costs of follow-up inspections after a failed inspection incentivizes franchisees to address any issues promptly and maintain compliance. Prospective Churchs Chicken franchisees should be aware of this potential expense and factor it into their financial planning.