Can Cicis delegate its rights and obligations under the Franchise Agreement to third-party designees?

According to the 2025 Cicis Franchise Disclosure Document, franchisees are restricted from delegating their rights and obligations under the Development Agreement to third parties. However, an exception exists where Cicis approves an affiliate of the franchisee to sign Franchise Agreements. This means that while a franchisee cannot generally subcontract their responsibilities to an outside party, they can have an affiliated entity, approved by Cicis, fulfill certain obligations, such as signing franchise agreements.

This restriction ensures that Cicis maintains control over who is developing and operating Cicis restaurants within a designated development area. By requiring franchisees to personally fulfill their obligations (or use an approved affiliate), Cicis can ensure that its standards and procedures are followed. This is a common practice in franchising, as franchisors typically want to maintain a consistent brand image and quality of service across all locations.

For a prospective Cicis franchisee, this means they must be prepared to personally oversee the development of their franchise locations, unless they have an affiliate that Cicis approves. It is important for potential franchisees to understand this restriction and ensure they have the resources and capabilities to meet their development obligations. If a franchisee anticipates needing assistance with development, they should discuss the possibility of using an affiliate with Cicis during the franchise application process.