Which sections of the Fat Shack Franchise Agreement and Development Agreement address the franchisee's post-termination obligations?

According to Fat Shack's 2025 Franchise Disclosure Document, Item 9 outlines the franchisee's obligations, including those that persist after the franchise agreement is terminated. Specifically, post-termination obligations are detailed in Sections 19.8, 19.10, 19.11, 21.2, and 21.4 of the Franchise Agreement, as well as Article 6 and Section 4.5 of the Development Agreement. This information is also referenced in Item 17 of the disclosure document.

For a prospective Fat Shack franchisee, understanding these post-termination obligations is crucial. These sections likely cover restrictions on operating a similar business, maintaining confidentiality, and returning proprietary information or materials to Fat Shack after the franchise agreement ends. It is important to carefully review these sections to understand the full scope of these obligations and how they might impact future business ventures.

Failure to comply with post-termination obligations could result in legal action from Fat Shack, including potential financial penalties. Therefore, prospective franchisees should seek legal counsel to fully understand their rights and responsibilities under these sections of the Franchise Agreement and Development Agreement. This will help ensure they are prepared for any potential scenarios following the termination of their franchise agreement.