What must be delivered to FSI upon termination of a Fat Shack franchise agreement?
Fat_Shack Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee acknowledges that, as between Franchisee and FSI, FSI has the sole rights to and interest in all telephone, telecopy or facsimile machine numbers and directory listings, all domain names, and social media websites or accounts associated with any Mark.
Franchisee authorizes FSI, and hereby appoints FSI and any of its officers as Franchisee's attorney-in-fact, to direct the telephone company and all telephone directory publishers, domain name registration companies, and social media website operators to transfer any telephone, telecopy or facsimile machine numbers, directory listings, domain names, and social media websites and accounts relating to the FAT SHACK Restaurant to FSI or its designee, should Franchisee fail or refuse to do so, and the telephone company and all telephone directory publishers, domain name registration companies, and social media website operators may accept such direction or this Agreement as conclusive evidence of FSI's exclusive rights in such telephone numbers, directory listings, domain names, and social media websites and accounts, and FSI's authority to direct their transfer.
- h.
Abide by all restrictive covenants set forth in Article 21 of this Agreement.
- i.
Pay all third parties all amounts then owed to them for products or services directly or indirectly related to the FAT SHACK Restaurant.
Source: Item 23 — Receipts (FDD pages 53–223)
What This Means (2025 FDD)
According to Fat Shack's 2025 Franchise Disclosure Document, upon termination of the franchise agreement, the franchisee must transfer all telephone, telecopy, or facsimile machine numbers and directory listings, all domain names, and social media websites or accounts associated with any Mark to FSI.
Fat Shack retains sole rights and interest in all telephone, telecopy or facsimile machine numbers and directory listings, all domain names, and social media websites or accounts associated with any Mark. To ensure this transfer, the franchisee authorizes FSI to act as their attorney-in-fact, allowing FSI to direct the telephone company, directory publishers, domain name registration companies, and social media website operators to transfer these assets to FSI or its designee if the franchisee fails or refuses to do so.
Additionally, the franchisee must abide by all restrictive covenants outlined in Article 21 of the agreement and pay all outstanding amounts owed to third parties for products or services related to the Fat Shack Restaurant. These obligations ensure a smooth transition and protect Fat Shack's interests and reputation after the termination of the franchise agreement.