Is an Hck Hot Chicken Area Developer solely responsible for finding sites for Restaurants?
Hck_Hot_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
6.1.2 Although Franchisor may voluntarily (without obligation) assist Area Developer in locating an acceptable site for a Restaurant, neither Franchisor's said assistance, if any, nor its acceptance of any proposed site, whether initially proposed Area Developer or by Franchisor, shall be construed to insure or guarantee the profitable or successful operation of the Restaurant at that site by Area Developer, and Franchisor hereby expressly disclaims any responsibility therefor. Area Developer acknowledges its sole responsibility for finding each site for the Restaurants it develops pursuant to this Development Agreement.
- 6.1.3 Unless waived by Franchisor in whole or in part, upon submitting a fourth or subsequent Site Review Request to Franchisor for review, Area Developer shall reimburse Franchisor for all costs and expenses of Franchisor incurred in reviewing the Site Review Requests, including payment to consultants and agents retained by Franchisor to assist in conducting such review and including a reasonable allocation of overhead and administrative expenses.
Source: Item 23 — RECEIPTS (FDD pages 55–245)
What This Means (2025 FDD)
According to Hck Hot Chicken's 2025 Franchise Disclosure Document, the Area Developer is primarily responsible for finding sites for restaurant locations. While Hck Hot Chicken may offer voluntary assistance in locating acceptable sites, the Area Developer has the ultimate responsibility.
The FDD states that the franchisor's assistance, if any, or its acceptance of any proposed site, does not guarantee the profitable or successful operation of the restaurant at that site. Hck Hot Chicken expressly disclaims any responsibility for the site's success. This indicates that while the franchisor may provide guidance or approval, the onus is on the Area Developer to conduct thorough due diligence to ensure the site's viability.
Furthermore, the FDD specifies that upon submitting a fourth or subsequent Site Review Request, the Area Developer may have to reimburse Hck Hot Chicken for all costs and expenses incurred in reviewing the Site Review Requests. This includes payments to consultants and agents retained by Hck Hot Chicken to assist in conducting such reviews, as well as a reasonable allocation of overhead and administrative expenses. This clause further emphasizes the Area Developer's responsibility in site selection and the potential costs associated with multiple site reviews.