factual

What is the impact of Force Majeure on the construction timeline for a Hck Hot Chicken franchise?

Hck_Hot_Chicken Franchise · 2025 FDD

Answer from 2025 FDD Document

In the event of the occurrence of an event which Franchisee claims to constitute Force Majeure, Franchisee shall provide written notice to Franchisor in writing within five days following commencement of the alleged Force Majeure which notice shall include the words "Force Majeure" and explicitly describe the specific nature and extent of the Force Majeure, and how it has impacted Franchisee's performance hereunder.

Franchisee shall provide Franchisor with continuous updates (no less frequently than once each week) on Franchisee's progress and diligence in responding to and overcoming the Force Majeure, and shall notify Franchisor immediately upon cessation of such Force Majeure, and provide all other information as may be requested by Franchisor.

If Franchisee shall fail to notify Franchisor of any alleged Force Majeure within said five days, or shall fail to provide any such updates during the continuance of the alleged Force Majeure, Franchisee shall be deemed to have waived the right to claim such Force Majeure.

During the event of Force Majeure, the parties shall be relieved of their respective obligations only to the extent the parties are respectively necessarily prevented or delayed in such performance during the period of such Force Majeure (other than the payment of money as may be owed by a party).

An event of Force Majeure does not relieve a party from liability for an obligation which arose before the occurrence of the event, nor does that event affect any obligation to pay money owed under the Franchise Agreement or to indemnify Franchisor, whether such obligation arose before or after the Force Majeure event.

An event of Force Majeure shall not affect Franchisee's obligations to comply with any restrictive covenants in this Agreement during or after the Force Majeure event.

  • 5.4.8 Franchisor's acceptance of Franchisee's plans and specifications for the Location, Franchisor's guidance with the development of the Location, and Franchisor's authorization to open the Franchised Restaurant are to assure that Franchisee complies with Franchisor's standards and specifications, and shall not be construed as any express or implied representation or warranty that the Location complies with any Applicable Laws, codes or regulations or that the construction is sound or free from defects.

Franchisor's criteria for acceptance or rejection do not encompass technical, architectural or engineering considerations.

Franchisor will have no liability with respect to construction of the Location, nor shall Franchisor be responsible in any way for delays or losses occurring during the design, construction or other preparation of the Franchised Restaurant, whether caused by the condition of the Location, the design, engineering, construction, equipping, decorating, or stocking of the Franchised Restaurant, or any other reason.

Source: Item 21 — FINANCIAL STATEMENTS (FDD page 54)

What This Means (2025 FDD)

According to Hck Hot Chicken's 2025 Franchise Disclosure Document, a Force Majeure event can impact the construction timeline. If a franchisee claims a Force Majeure event has occurred, they must provide written notice to Hck Hot Chicken within five days of the event's commencement. This notice must include the words "Force Majeure" and describe the specific nature and extent of the event, detailing how it has impacted the franchisee's performance.

The franchisee is also required to provide continuous updates, at least once a week, on their progress and efforts to overcome the Force Majeure event. They must notify Hck Hot Chicken immediately upon the cessation of the event and provide any other information requested by the franchisor. Failure to notify Hck Hot Chicken within the five-day period or to provide continuous updates will result in a waiver of the right to claim Force Majeure.

During a Force Majeure event, both parties are relieved of their obligations only to the extent that they are necessarily prevented or delayed in performance. However, this relief does not extend to the payment of money owed by either party, nor does it affect any obligation to comply with restrictive covenants or to indemnify Hck Hot Chicken, regardless of when the obligation arose. Hck Hot Chicken states it will not be responsible in any way for delays or losses occurring during the design, construction, or other preparation of the Franchised Restaurant, whether caused by the condition of the Location, the design, engineering, construction, equipping, decorating, or stocking of the Franchised Restaurant, or any other reason.

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.