Who must accept the Operating Principal designated by the Franchisee for a Hck Hot Chicken franchise?
Hck_Hot_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
- OPERATING PRINCIPAL. The definition of Operating Principal in Section 1.1 of the Franchise Agreement is hereby amended and restated as follows:
"a person, or such other individual hereafter designated by Franchisee, and accepted by Franchisor (and until subsequently disapproved by Franchisor), to serve as the prime representative in matters concerning the Franchisor's brand requirements under this Agreement. Operating Principals are Franchisee's designated employees who will complete the training required by Franchisor. They shall be full-time employees at the Premises but shall not be required to remain solely at the Franchised Restaurant."
- INITIAL TRAINING. Section 6.1.1 of the Franchise Agreement is hereby amended and restated as follows:
"Franchisor shall provide an Initial Training Program in the Franchisor's System and methods of operation (the "Initial Training Program") at the Franchisor's training facilities in Woodbridge, VA, or other location specified by Franchisor, for Franchisee (or if Franchisee is an Entity, Franchisee's Operating Principal) and up to three management persons selected by Franchisee. In addition to the Initial Training Program, Franchisee's Operating Principal and, if applicable, Director of Operations (defined in Section 7.2.5) must also attend the extra practice week training program at least 60 days before your Non-Traditional Restaurant opens for business (the "Extra Practice Week") and online training. Except as otherwise provided, the Initial Training Program and the Extra Practice Week shall be provided by Franchisor prior to the opening of the Franchised Restaurant and must be completed before the Franchised Restaurant opens to the public. Franchisee shall pay all Travel Expenses and Wages, and other expenses, if any, incurred by Franchisee and/or Franchisee's employees in connection with attendance at training programs. Franchisee may not open the Franchised Restaurant until such training has been completed to the satisfaction of Franchisor and Franchisee's management team has been certified by Franchisor. All personnel attending training must have first successfully completed the "ServSafe Manager" program or similar program specified by Franchisor. Franchisee's Operating Principal must attend a third week of extra practice training."
Source: Item 22 — CONTRACTS (FDD pages 54–55)
What This Means (2025 FDD)
According to Hck Hot Chicken's 2025 Franchise Disclosure Document, the Franchisor must accept the Operating Principal designated by the Franchisee. The Operating Principal acts as the prime representative concerning the Franchisor's brand requirements. This individual must also complete the training required by Hck Hot Chicken.
The Operating Principal must be approved by Hck Hot Chicken in writing and is responsible for ensuring the Franchised Restaurant complies with the Franchise Agreement and Brand Standards Manual. If the Operating Principal can no longer serve or no longer qualifies, the Franchisee must notify Hck Hot Chicken and designate a replacement within 30 days. This replacement must meet Hck Hot Chicken's qualification requirements and undergo any required training at the Franchisee's expense.
This requirement ensures that Hck Hot Chicken maintains control over brand standards and operational procedures at each franchise location. By requiring Franchisor approval, Hck Hot Chicken can ensure that the Operating Principal is qualified and capable of upholding the brand's standards. The franchisee bears the cost of training the Operating Principal, which is a common practice in franchising. The written approval provides a documented agreement between the franchisee and franchisor regarding the suitability of the operating principal.