factual

Does Hardees' use of different agreements with other developers and franchisees affect a developer's duty to comply with the terms of their specific Hardees agreement?

Hardees Franchise · 2025 FDD

Answer from 2025 FDD Document

Developer acknowledges that, over time, HR has entered, and will continue to enter, into agreements with other developers and franchisees that may contain provisions, conditions and obligations that differ from those contained in this Agreement. The existence of different forms of agreement and the fact that HR and other developers and franchisees may have different rights and obligations does not affect the duties of the parties to this Agreement to comply with the terms of this Agreement.

Source: Item 23 — Receipts (FDD pages 85–541)

What This Means (2025 FDD)

According to Hardees's 2025 Franchise Disclosure Document, the existence of different agreements with other developers and franchisees does not affect a developer's duty to comply with the terms of their specific Hardees agreement. Hardees may enter into agreements with other developers and franchisees that contain different provisions, conditions, and obligations. However, the fact that these other agreements exist, and may differ from the developer's agreement, does not change the developer's responsibility to adhere to the terms of their own agreement with Hardees.

This means that a Hardees developer cannot claim that they are not obligated to fulfill their contractual duties simply because other developers or franchisees have different arrangements with Hardees. Each agreement is treated as a separate and binding contract, and each party is responsible for complying with the terms of their own agreement. This clause ensures that Hardees retains the flexibility to tailor agreements to specific circumstances without undermining the enforceability of each individual agreement.

For a prospective Hardees developer, this provision underscores the importance of carefully reviewing and understanding the terms of their specific development agreement. They cannot assume that they will have the same rights or obligations as other developers or franchisees. It also highlights the need to seek legal counsel to fully understand the implications of the agreement before signing it. This clause protects Hardees's ability to adapt its franchise offerings to different market conditions and individual franchisee needs, while still holding each developer accountable to their specific contractual obligations.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.