During a Crisis Situation at a Hardees restaurant, what communications are franchisees prohibited from making?
Hardees Franchise · 2025 FDDAnswer from 2025 FDD Document
If an event occurs at the Franchised Restaurant that may damage the Proprietary Marks, the System or the reputation of HR (collectively "Crisis Situation"), Franchisee shall: (1) immediately contact appropriate emergency care providers to assist it in curing the harm or injury; and (2) immediately inform HR by telephone of the Crisis Situation. Franchisee shall refrain from making any internal or external announcements (i.e., no communication with the news media) regarding the Crisis Situation (unless otherwise directed by HR or public health officials).
To the extent HR deems appropriate, in its sole and absolute discretion, HR or its designee may control the manner in which the Crisis Situation is handled by the parties, including, without limitation, conducting all communication with the news media and/or temporarily closing the Franchised Restaurant. The parties acknowledge that, in directing the management of any Crisis Situation, HR or its designee may engage the services of attorneys, experts, doctors, testing laboratories, public relations firms and those other professionals as it deems appropriate. Franchisee and its employees shall cooperate fully with HR or its designee in its efforts and activities in this regard and shall be bound by all further Crisis Situation procedures developed by HR from to time hereafter. The indemnification under Section 25 shall include all losses and expenses that may result from the exercise by HR or its designee of the management rights granted in this Section 32.G.
Source: Item 22 — Contracts (FDD page 85)
What This Means (2025 FDD)
According to Hardees's 2025 Franchise Disclosure Document, during a crisis situation at the franchised restaurant, franchisees must immediately contact emergency care providers to assist in curing the harm or injury and immediately inform Hardees by telephone of the crisis situation.
However, franchisees are restricted from making any internal or external announcements, such as communicating with the news media, regarding the crisis situation unless directed otherwise by Hardees or public health officials. This restriction is in place to allow Hardees to manage the situation and protect its brand reputation.
Hardees retains the right to control how a crisis situation is handled, including conducting all communication with the news media and temporarily closing the franchised restaurant. Hardees may also engage attorneys, experts, doctors, testing laboratories, public relations firms, and other professionals as deemed appropriate. Franchisees and their employees must fully cooperate with Hardees in these efforts and adhere to any crisis situation procedures developed by Hardees.