Who bears the cost of constructing, equipping, and improving the Franchised Restaurant for Hck Hot Chicken?
Hck_Hot_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
s, among other things, companies that provide services for electronic payment, such as near field communication vendors (for example, "Apple Pay" and "Google Wallet").
- 7.3.5 Franchisor requires that the Restaurant comply with "EMV" and may require that the Restaurant comply with other standards for credit card usage. The Restaurant must have at least two EMV terminals. Franchisee is required to pay Franchisor's vendors their then-current monthly fee for obtaining software for each EMV terminal. Franchisor may require that Franchisee install additional payment terminals or automated teller machines for use with such credit cards. Franchisee shall pay the costs of any terminals, software, hardware, or other components necessary to comply with these requirements, and Franchisor reserves the right to require that Franchisee pay any such costs to Franchisor.
- 7.3.6 Franchisee shall participate in accordance with Franchisor's policies and specifications, including those set forth in the HCK Hot Chicken Brand Standards Manual, in all types of ordering systems, specified by Franchisor, including online and mobile application programs. Franchisee will cooperate in all respects to implement, support, and maintain such systems, including providing Franchisor and its representatives with access to Franchisee's banking accounts.
- 7.4 HCK Hot Chicken Brand Standards Manual. Franchisee shall participate in the System and operate the Franchised Restaurant in strict compliance with the standard procedures, policies, rules, and regulations established by Franchisor and incorporated in the HCK Hot Chicken Brand Standards Manual. Franchisor will provide Franchisee with electronic access to the HCK Hot Chicken Brand Standards Manual, including bulletins and updates to use during the term of this Agreement. If Franchisee's copy of the HCK Hot Chicken Brand Standards Manual is lost, destroyed, or significantly damages, Franchisee must pay a replacement fee of $500 to Franchisor.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 54)
What This Means (2025 FDD)
Based on the 2025 Hck Hot Chicken Franchise Disclosure Document, the franchisee is responsible for the costs associated with constructing, equipping, and improving the franchised restaurant. Specifically, the franchisee is required to pay for any terminals, software, hardware, or other components necessary to comply with credit card usage standards, including EMV terminals.
Additionally, if any inspection reveals deficiencies or unsatisfactory conditions, the franchisee is responsible for promptly correcting or repairing these issues. This includes undergoing additional audits or re-inspections at the franchisee's sole expense, with fees of $850 for the first offense and $2,500 for any additional offense, along with reimbursing Hck Hot Chicken's costs and expenses.
Furthermore, the franchisee is obligated to maintain the standards and appearance of the franchised restaurant as outlined in the Hck Hot Chicken Brand Standards Manual. This implies that any costs associated with maintaining or improving the restaurant to meet these standards are the responsibility of the franchisee. The franchisee also bears the cost of participating in ordering systems, including online and mobile application programs, as specified by Hck Hot Chicken.