When must the Franchise Agreement for the first Cicis Restaurant be signed when acquiring Development Rights?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
To acquire the Development Rights, you must sign our form of area development agreement and related agreements, the current forms of which are attached to this Disclosure Document as Exhibit C (the "Area Development Agreement"). You and we will agree on both the Development Area and the Development Schedule before signing, and each will be identified in, the Area Development Agreement. Our typical Area Development Agreement requires development of 2 or 3 Cicis Restaurants, with the final agreed upon number being reflected in the Area Development Agreement you sign. You will sign the Franchise Agreement for the 1st Cicis Restaurant when you sign the Area Development Agreement. For each subsequent Cicis Restaurant you commit to develop, you must sign our then-current form of
Franchise Agreement, which may be materially different than the form we were using when you signed the Area Development Agreement.
Source: Item 1 — The Franchisor and any Parents, Predecessors, and Affiliates (FDD pages 6–8)
What This Means (2025 FDD)
According to Cicis's 2025 Franchise Disclosure Document, if you are acquiring Development Rights to open multiple Cicis restaurants in a specific area, you are required to sign the Franchise Agreement for your first Cicis restaurant at the same time you sign the Area Development Agreement. The Area Development Agreement outlines the geographic territory and the schedule for developing the restaurants.
This means that before you begin developing any restaurants, you must commit to the terms and conditions of the Franchise Agreement for your first location. For each subsequent Cicis restaurant you plan to develop under the Area Development Agreement, you will be required to sign Cicis's then-current form of Franchise Agreement.
It is important to note that the Franchise Agreement you sign for subsequent locations may be materially different from the initial Franchise Agreement you signed when you acquired the Development Rights. This could include changes to fees, operating procedures, or other key terms. Therefore, prospective franchisees should carefully consider the potential implications of these changes when entering into an Area Development Agreement with Cicis.