Does the Fat Shack Franchise Agreement include a Successor Franchise Rider as an attachment?

Yes, according to the 2025 Fat Shack Franchise Disclosure Document, the document includes a Successor Franchise Rider as an attachment. Specifically, Attachment F to the disclosure document is titled "SUCCESSOR FRANCHISE RIDER" and includes a rider to the Fat Shack Inc. Franchise Agreement.

When the initial franchise term ends, a franchisee in good standing has the option to obtain a successor franchise for three additional terms of five years each. To do so, the franchisee must meet several conditions, including executing a successor franchise rider. This rider is in the form then in use by Fat Shack and includes a general release of any and all claims against Fat Shack, its affiliates, and their respective officers, directors, employees, and agents (unless prohibited by law).

In addition to executing the rider, the franchisee must pay a successor franchise fee of $6,000 upon each exercise of the successor franchise rights. This fee covers Fat Shack's expenses related to reviewing the franchisee's operations and approving the option. The franchisee may also need to upgrade and remodel the Fat Shack restaurant to conform to the current Operations Manual requirements, at their own expense, if Fat Shack deems it necessary. The franchisee or their General Manager may also need to complete a refresher operations training program.