Has any party associated with Fat Shack been convicted of a felony?

According to the 2025 Fat Shack Franchise Disclosure Document, the franchise agreement outlines specific conditions under which Fat Shack can terminate a franchise agreement. One such condition involves criminal convictions. Specifically, Fat Shack can terminate the franchise agreement if the franchisee or any of its Bound Parties is convicted of a felony.

This provision in the franchise agreement means that a franchisee's criminal record, or that of parties associated with the franchisee, could have serious repercussions for their Fat Shack business. The term "Bound Parties" is further defined in Section 21.1 of the franchise agreement, so prospective franchisees should review that section carefully to understand who is included in that definition.

Furthermore, Fat Shack can terminate the agreement if the conviction involves moral turpitude or any crime or offense that, in Fat Shack's opinion, could negatively affect the Licensed Methods, Marks, and the goodwill and reputation of Fat Shack Restaurants. This clause grants Fat Shack considerable discretion in deciding whether a criminal conviction warrants termination, highlighting the importance of maintaining a clean criminal record for anyone involved in the operation of a Fat Shack franchise.