Is the Hck Hot Chicken Brand Standards Manual considered confidential, and what does it contain?
Hck_Hot_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
hereto, to the HCK Hot Chicken Brand Standards Manual shall be deemed to mean the HCK Hot Chicken Brand Standards Manual kept current by amendments from time to time.
- 7.4.3 The HCK Hot Chicken Brand Standards Manual and all amendments to the HCK Hot Chicken Brand Standards Manual (whether electronic or hard copies thereof) are copyrighted and remain Franchisor's property. They are loaned to Franchisee for the term of the Agreement and must be returned to Franchisor immediately upon the Agreement's termination or expiration. The HCK Hot Chicken Brand Standards Manual are highly confidential documents which contain certain Trade Secrets of Franchisor. Franchisee shall not make, or cause or allow to be made, any copies, reproductions or excerpts of all or any portion of the HCK Hot Chicken Brand Standards Manual without Franchisor's express prior written consent. Upon the expiration or termination of this Agreement for any reason whatsoever, Franchisee shall immediately return the HCK Hot Chicken Brand Standards Manual to Franchisor. Franchisee's loss or unauthorized transfer of the HCK Hot Chicken Brand Standards Manual, or other breach of this Section shall, without limiting the materiality of any other default of this Agreement, constitute a material default of this Agreement.
- 7.4.4 Franchisee acknowledges that its compliance with the HCK Hot Chicken Brand Standards Manual is vitally important to Franchisor and to other franchisees and is necessary to protect Franchisor's reputation and the goodwill of the Marks and to maintain the uniform quality of operation for all franchisees. However, while the HCK Hot Chicken Brand Standards Manual is designed to protect Franchisor's reputation and the goodwill of the Marks, it is not designed to control the day-to-day operation of the Franchised Restaurants.
- 7.5 Hours. Subject to Applicable Law or subsequent written agreement between Franchisor and Franchisee to the contrary, Franchisor and Franchisee agree that Franchised Restaurant shall be open and operational seven days per week, every day of the year (except Thanksgiving and Christmas on which Franchisee is authorized to close the Franchised Restaurant), and at least from 11 AM to 10 PM unless approved in writing. Franchisee shall diligently and efficiently exercise its best efforts to achieve the maximum Gross Sales possible from its Location and shall remain open for longer hours if additional opening hours are reasonably required to maximize operations and sales.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 54)
What This Means (2025 FDD)
According to Hck Hot Chicken's 2025 Franchise Disclosure Document, the Brand Standards Manual is considered a highly confidential document containing the franchisor's trade secrets. Franchisees are loaned the manual for the term of their agreement and must return it upon termination or expiration. Franchisees are prohibited from making copies or excerpts without prior written consent from Hck Hot Chicken. Loss or unauthorized transfer of the manual constitutes a material breach of the franchise agreement. Franchisees must also follow procedures to prevent unauthorized use and disclosure of the manual's contents.
The Hck Hot Chicken Brand Standards Manual covers a range of topics, including forms, product and menu specifications, purchase orders, general operations, online ordering, gift cards, labor management, gross sales reports, training and accounting, sanitation, staff certification, design specifications and uniforms, display of signs and notices, authorized and required information systems, equipment and fixtures, mark usage, insurance requirements, lease requirements, ownership requirements, decor, standards for management and personnel, hours of operation, yellow page and local advertising formats, standards of maintenance and appearance of the franchised restaurant, procedures upon the occurrence of a crisis management event, and required posting of notices to customers as to how to contact the franchisor to submit complaints and feedback, participation in surveys and mystery shopper programs, and other matters and policies related to the system or the franchise relationship.
The franchisor retains the right to modify the Hck Hot Chicken Brand Standards Manual at any time, provided that such modifications do not alter the franchisee's fundamental rights under the agreement. Modifications become effective upon written or electronic notice to the franchisee. The manual, as updated, is an integral part of the franchise agreement. If a franchisee's copy of the manual is lost, destroyed, or significantly damaged, the franchisee must pay a replacement fee of $500 to Hck Hot Chicken.
If a franchisee defaults under the agreement, Hck Hot Chicken may disable or terminate the franchisee's access to the intranet, providing a paper copy of the Brand Standards Manual and updates if not previously provided, unless the franchisee is not otherwise entitled to the manual. Franchisees are generally required to order goods and products through the intranet when possible. The Brand Standards Manual also specifies authorized products, which include food products, sauces, beverages, and other related items, prepared and sold according to Hck Hot Chicken's recipes and standards.