For a Non-Traditional Hck Hot Chicken restaurant, what happens to references to 'Restaurant' in the Franchise Agreement?
Hck_Hot_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
Except for Sections 2.3, 8.3.1, 8.3.3, 9.3.2, 9.4.1, 11.8, 12.1.2, 12.2.1, 13.2.3(f) and 13.2.3(i) of the Franchise Agreement, the final reference in Section 9.7.2, as used in the definitions of "Competitive Activities," "Crisis Management Event," "Restaurant," "System" and "Traditional Restaurant" in Appendix 1 to the Franchise Agreement, and except as otherwise provided in this Addendum, all references in the Agreement to the defined term "Restaurant" are deleted and the reference "Non-Traditional Restaurant" is inserted in their place.
Franchisor and Franchisee acknowledge and agree that the products and services offered for sale from the Non-Traditional Restaurant, and the standards and specifications of Franchisor and its affiliates, may differ from that of a traditional HCK Hot Chicken Restaurant and will be subject to alternative standards and specifications developed and made available by Franchisor and its affiliates.
Source: Item 22 — CONTRACTS (FDD pages 54–55)
What This Means (2025 FDD)
According to Hck Hot Chicken's 2025 Franchise Disclosure Document, when a franchisee operates a Hck Hot Chicken restaurant in a non-traditional venue, the standard Franchise Agreement is modified through an addendum. This addendum specifically addresses how the term "Restaurant" is interpreted and applied within the agreement.
Specifically, the addendum replaces most references to "Restaurant" with "Non-Traditional Restaurant." However, there are exceptions to this rule. Certain sections of the Franchise Agreement (2.3, 8.3.1, 8.3.3, 9.3.2, 9.4.1, 11.8, 12.1.2, 12.2.1, 13.2.3(f) and 13.2.3(i)) and the final reference in Section 9.7.2, as used in the definitions of "Competitive Activities," "Crisis Management Event," "Restaurant," "System" and "Traditional Restaurant" in Appendix 1, are excluded from this substitution. This means that in these specific instances, the term "Restaurant" retains its original meaning as defined in the standard Franchise Agreement, even for a non-traditional location.
This modification acknowledges that non-traditional Hck Hot Chicken locations may operate differently from traditional restaurants. The products, services, standards, and specifications may vary, and Hck Hot Chicken reserves the right to implement alternative standards for these non-traditional venues. This ensures that the Franchise Agreement can be appropriately adapted to the unique circumstances of each non-traditional location while maintaining consistency and clarity in key areas of the agreement.