Must a Hardees franchisee lease a location from Hardees or an affiliate?
Hardees Franchise · 2025 FDDAnswer from 2025 FDD Document
Although you are not required to lease a location from us or an affiliate, we must consent to your selection of the site for your Hardee's Restaurant. If you lease the Restaurant premises from a third party landlord, you must sign the Franchise Lease Addendum attached as Appendix G to the Franchise Agreement.
Source: Item 8 — Restrictions on Sources of Products and Services (FDD pages 39–42)
What This Means (2025 FDD)
According to Hardees's 2025 Franchise Disclosure Document, franchisees are not required to lease their restaurant location from Hardees or any of its affiliates. However, Hardees retains the right to approve the franchisee's chosen site for the Hardees restaurant. This means that while franchisees have the freedom to select their location and lease from a third-party landlord, Hardees must ultimately agree with the site selection.
If a franchisee chooses to lease the restaurant premises from a third party, they are required to sign a Franchise Lease Addendum. This addendum is included as Appendix G to the Franchise Agreement. This suggests that Hardees wants to ensure certain standards or protections are in place even when the location is not directly controlled by them through a lease agreement.
This arrangement provides franchisees with some flexibility in choosing their location while still allowing Hardees to maintain brand consistency and ensure that the location meets their criteria for a successful Hardees restaurant. Prospective franchisees should carefully review Appendix G of the Franchise Agreement to understand the specific terms and conditions of the Franchise Lease Addendum.