What is the definition of 'Restaurant' or 'Store' in the Gold Star franchise agreement?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
(the "Retail Location"), and for the right to use, solely in connection therewith the System and Marks.
NOW, THEREFORE, in consideration of the above premises and the mutual covenants herein contained, the parties agree as follows:
1. GRANT OF FRANCHISE.
1.1 Grant. COMPANY hereby grants unto FRANCHISEE, and FRANCHISEE hereby accepts, upon the terms and conditions of this Agreement, a license and franchise to establish and operate a Restaurant at the Retail Location (sometimes
herein referred to as the "Restaurant" or the "Store" and the business conducted pursuant to this Agreement is sometim
Source: Item 23 — Receipts (FDD pages 53–163)
What This Means (2025 FDD)
According to the 2025 Gold Star Franchise Disclosure Document, the terms 'Restaurant' and 'Store' are used interchangeably to refer to the franchised Gold Star Chili business that the franchisee is authorized to operate at a specific retail location. The franchise agreement grants the franchisee a license to establish and operate a Gold Star Chili restaurant at the retail location specified in the agreement. This location is the only place where the franchisee can use the Gold Star Chili system and trademarks.
This definition is important because it clarifies the scope of the franchise being granted. The franchisee's rights and obligations under the agreement are tied to this specific location. The franchisee does not have the right to operate a Gold Star Chili restaurant at any other location without a separate agreement.
The agreement also emphasizes that the franchisee must operate the business in compliance with Gold Star's standards and specifications. This includes maintaining the appearance and condition of the store, as well as adhering to the company's standards for food preparation and service. These standards are designed to ensure consistency across all Gold Star locations and to protect the brand's reputation.