What is the Fat Shack franchisee's responsibility regarding consulting with their own legal advisor?

According to the 2025 Fat Shack Franchise Disclosure Document, it is the franchisee's sole responsibility to seek legal counsel and ensure compliance with all applicable laws and regulations. Fat Shack has no obligation to advise franchisees of any legislative or legal changes that could affect their Fat Shack Restaurant.

Fat Shack states that any information they provide regarding laws, ordinances, or regulations does not relieve the franchisee of their responsibility to consult with their own legal advisor. The franchisee must take appropriate action to inquire about and comply with all applicable laws, ordinances, and regulations. This means that while Fat Shack may offer some guidance, the franchisee bears the ultimate responsibility for understanding and adhering to all legal requirements.

This requirement extends to various aspects of the business, including obtaining necessary licenses to operate the Fat Shack Restaurant. The franchisee is responsible for keeping copies of all inspection reports from governmental authorities and for immediately forwarding any reports of non-compliance to Fat Shack. Additionally, the franchisee must promptly notify Fat Shack of any defaults or non-compliance notices under their lease or other third-party contracts.

In summary, while Fat Shack offers support and guidance, the franchisee is ultimately responsible for ensuring their Fat Shack Restaurant operates in full compliance with all applicable laws and regulations by seeking independent legal counsel and taking proactive measures to stay informed.