Can the Managing Owner or Operator of a Cicis franchise engage in other businesses?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
Neither the Managing Owner nor the Operator will engage in any other business or activity that may conflict with your obligations under this Agreement or any other agreement with us or our affiliates.
- (5) You must, at all times, keep us informed as to the identity of the persons serving as your Managing Owner and your Operator.
If your relationship with the Managing Owner terminates or
materially changes, you must promptly designate a qualified replacement and must notify us within five (5) business days of any change. Any successor or replacement Managing Owner and Operator must complete our initial training program within a reasonable period of time after his or her appointment. If we, in our sole judgment, determine that your Restaurant is not supervised by a properly trained and qualified Managing Owner and/or Operator, we will notify you, and you must take appropriate corrective measures within a reasonable period of time, not to exceed 60 days from the date of the notice. Further, during such time period, you must provide interim supervision of your Restaurant in accordance with this Agreement and approved in writing by us.
Source: Item 22 — CONTRACTS (FDD pages 64–65)
What This Means (2025 FDD)
According to Cicis's 2025 Franchise Disclosure Document, the Managing Owner and the Operator of a Cicis franchise are restricted from engaging in other business activities that could create a conflict of interest with their obligations to Cicis. Specifically, they cannot participate in any business or activity that would interfere with their responsibilities under the Franchise Agreement or any other agreements with Cicis or its affiliates. This restriction is in place to ensure that the Managing Owner and Operator are fully dedicated to the success of the Cicis restaurant.
Cicis requires that the franchisee keep them informed about the identities of the Managing Owner and the Operator at all times. If the relationship with the Managing Owner changes or terminates, the franchisee must promptly designate a qualified replacement and notify Cicis within five business days. Any successor must also complete the initial training program to ensure they are adequately prepared to manage the restaurant according to Cicis's standards.
If Cicis determines that the restaurant is not being properly supervised by a trained and qualified Managing Owner or Operator, they will notify the franchisee, who must then take corrective measures within 60 days. During this period, the franchisee must also provide interim supervision that is approved in writing by Cicis. This requirement ensures that the Cicis restaurant maintains its operational standards and protects the brand's reputation.