If Cicis terminates my franchise agreement, where can I find a summary of the conditions?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Franchise or other Agreement | Summary |
|---|---|---|
| Area Development Agreement – Section 6.B. | If you (or any of your owners, as applicable) (i) have made or make any material misrepresentation or omission in the application materials; (ii) you fail to comply with the Development Schedule; (iii) make or attempt to make an unpermitted transfer; (iv) fail to comply with 3 or more of your or their obligations during any 12 consecutive month period or on 2 or more separate occasions within any 6 consecutive month period fail to comply with the same obligation under the Area Development Agreement; (v) become insolvent; (vi) fail to comply with anti-terrorism laws, ordinances, regulations and Executive Orders; (vii) fail to comply with any other provision of this Agreement and do not correct the failure within 30 days after we deliver written notice of the failure to you; (viii) or an affiliate fails to comply with any other agreement with us or our affiliate, including any Franchise Agreement, unless the failure is timely and completely cured within any cure period provided under the applicable agreement); or (ix) you (or any of your owners) engage in any conduct which, in our opinion, adversely affects the reputation of Cicis Restaurants or the goodwill associated with the Marks. | |
| i. Franchisee's obligations on termination/ non-renewal | Franchise Agreement – Section 16 | You must immediately (i) cease operating the applicable Cicis Restaurant; (ii) cease using the Marks and the Confidential Information; (iii) cancel any assumed name or equivalent registrations which contain any Mark; (iv) stop identifying yourself and your business as associated with the Cicis brand; (v) pay all outstanding amounts due to us and our affiliates, including enforcement cost; (vi) return the Manual and other Confidential Information to us without retaining a copy of it; and (vii) comply with the non-compete covenants. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 45–53)
What This Means (2025 FDD)
According to Cicis's 2025 Franchise Disclosure Document, Item 17 provides a summary of franchisee obligations upon termination or non-renewal of the franchise agreement. Specifically, the table outlines these obligations, referencing Section 16 of the Franchise Agreement.
Upon termination or non-renewal, a Cicis franchisee must immediately cease operating the restaurant, discontinue using Cicis's trademarks and confidential information, and cancel any assumed name registrations containing Cicis's marks. The franchisee must also stop representing their business as associated with the Cicis brand and pay all outstanding amounts owed to Cicis and its affiliates, including enforcement costs.
Furthermore, the franchisee is required to return the operations manual and all other confidential information to Cicis without retaining any copies. Finally, the franchisee must comply with the non-compete covenants outlined in the franchise agreement, which restricts the franchisee from engaging in similar businesses within a specified area and timeframe after termination. These obligations ensure the protection of Cicis's brand, trade secrets, and market position, even after a franchise relationship ends.