In the Hardees Preliminary Agreement, what term is used to refer to the prospective franchisee?
Hardees Franchise · 2025 FDDAnswer from 2025 FDD Document
RECITALS:
- A. Applicant wishes to be considered by HR for a franchise opportunity to develop and operate one or more Hardee's Restaurants ("Franchised Restaurants").
- B. Before HR will consider offering Applicant a franchise opportunity, Applicant must attend a meeting at HR's offices and at a Hardee's Restaurant during which Applicant will have the opportunity to meet with, and be evaluated by, various HR personnel ("Discovery Day"). In addition, HR may require that Applicant, and/or an employee or employees or other individual or individuals designated by Applicant, and as agreed to and deemed appropriate by HR ("Other Individuals"), each satisfactorily complete other training programs (collectively "Training Programs"), depending on HR's determination of the need of those attending the Training Programs.
- C. HR will provide Applicant and Other Individuals a variety of information both while Applicant and Other Individuals attend Discovery Day and the Training Programs and thereafter, if HR and Applicant continue to pursue a franchise opportunity.
- D. The information that will be provided by HR is confidential, and HR is not willing to disclose the information to Applicant or Other Individuals unless they agree to keep the information confidential. Accordingly, the parties are entering into this Agreement to ensure that Applicant and Other Individuals keep all such information confidential.
Source: Item 23 — Receipts (FDD pages 85–541)
What This Means (2025 FDD)
According to the 2025 Hardees Franchise Disclosure Document, the term "Applicant" is used to refer to a prospective franchisee in the context of the Preliminary Agreement. Specifically, the agreement outlines the conditions under which Hardees will consider an applicant for a franchise opportunity, including attending a Discovery Day and potentially completing training programs.
The agreement emphasizes the importance of confidentiality, as Hardees will be providing the Applicant with sensitive information during the evaluation process. This includes trade secrets, business methods, and other confidential technical and non-technical data. The Applicant is required to agree to keep this information confidential as a prerequisite for Hardees to consider them for a franchise.
This agreement ensures that both Hardees and the prospective franchisee understand their obligations during the initial stages of exploring a franchise opportunity. It protects Hardees' confidential information while allowing the Applicant to learn more about the Hardees system. The use of the term "Applicant" clearly identifies the prospective franchisee's role in this preliminary phase.