Can Hck Hot Chicken require an alternative payment method for fees?
Hck_Hot_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
We currently require you to pay fees and other amounts due to us or our affiliates via EFT or other similar means. You are required to complete the EFT authorization (in the form attached to this Franchise Disclosure Document in Exhibit I). You are also required to complete the credit card authorization (in the form attached to this Franchise Disclosure Document in Exhibit I), which allows us to charge your credit card for any past due amounts in the event an EFT payment is unsuccessful. We can require an alternative payment method or payment frequency for any fees or amounts owed to us or our affiliates under the Franchise Agreement.
Source: Item 6 — OTHER FEES (FDD pages 13–19)
What This Means (2025 FDD)
According to Hck Hot Chicken's 2025 Franchise Disclosure Document, Hck Hot Chicken can require alternative payment methods for fees owed by franchisees. Currently, Hck Hot Chicken requires franchisees to pay fees via EFT or similar means and to complete both an EFT authorization form and a credit card authorization form. The credit card authorization allows Hck Hot Chicken to charge the franchisee's credit card for any past due amounts if an EFT payment is unsuccessful.
This means that while EFT is the standard payment method, Hck Hot Chicken retains the right to demand a different payment approach or frequency for any amounts due under the Franchise Agreement. This gives Hck Hot Chicken flexibility in managing payments and addressing potential issues with franchisees.
For a prospective Hck Hot Chicken franchisee, this clause indicates that the payment terms are subject to change at Hck Hot Chicken's discretion. While EFT is the current standard, franchisees should be prepared to adapt to alternative payment methods if required by Hck Hot Chicken during the franchise term. It is important to maintain open communication with Hck Hot Chicken regarding payment processes and to address any concerns promptly to avoid potential disruptions.