What is the role of the Operating Principal for a Hck Hot Chicken franchise?
Hck_Hot_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
as set forth in the Brand Standards Manual or otherwise in writing by Franchisor; and (c) be an individual acceptable to Franchisor. The Operating Principal must be approved by Franchisor in writing. The Operating Principal shall be responsible for all actions necessary to ensure that the Franchised Restaurant is operated in compliance with this Agreement and the Brand Standards Manual. If during the Term the Operating Principal is not able to continue to serve in such capacity or no longer qualifies to act as such in accordance with this Section (including Franchisor's subsequent disapproval of such person), Franchisee shall promptly notify Franchisor of such occurrence. Thereafter, Franchisee shall promptly, but not later than 30 days after the prior Operating Principal ceases to serve Franchisee, designate a replacement operating principal who meets Franchisor's then-current qualification requirements, provide Franchisor with such information about such new Operating Principal as Franchisor may request, and cause such replacement Operating Principal to undergo, at Franchisee's cost, such training as Franchisor may require."
Section 7.2.3 of the Franchise Agreement is hereby amended and restated as follows:
"Franchisee shall ensure that the operation of the Franchised Restaurant is always under the direct control of the Operating Principal.
At all times that the Franchised Restaurant is open, the Franchised Restaurant shall be managed by a person that has successfully completed training and has successfully completed the ServSafe course and such other courses and training as may be specified by Franchisor and/or required by Applicable Law.
Each such Operating Principal shall be primarily dedicated to the operation of the Non-Traditional Restaurant to which the person is assigned.
Franchisee shall supervise, direct and be responsible for in all respects, the activities and performance of all Operating Principals and other employees of franchise and shall ensure compliance with the Brand Standards Manual and otherwise.
Franchisor will not have the power to hire or fire Franchisee's employees and/or independent contractors.
Source: Item 22 — CONTRACTS (FDD pages 54–55)
What This Means (2025 FDD)
According to the 2025 Hck Hot Chicken Franchise Disclosure Document, the Operating Principal is a key figure responsible for ensuring the franchise operates according to the franchise agreement and Brand Standards Manual. The Operating Principal must meet Hck Hot Chicken's standards and receive written approval from the franchisor. If the Operating Principal can no longer fulfill their duties or loses approval, the franchisee has 30 days to find a replacement that meets Hck Hot Chicken's qualifications. The franchisee is responsible for the replacement's training costs.
The Operating Principal must maintain direct control over the restaurant's operation. During all operating hours, the restaurant must be managed by someone who has completed the required training, including the ServSafe course and any other training specified by Hck Hot Chicken or required by law. The Operating Principal must be primarily dedicated to the non-traditional restaurant to which they are assigned.
The franchisee is responsible for supervising and directing the Operating Principal and all other employees, ensuring they comply with the Brand Standards Manual. However, Hck Hot Chicken does not have the authority to hire or fire the franchisee's employees or independent contractors. This structure ensures that while Hck Hot Chicken maintains brand standards through the Operating Principal, the franchisee retains control over their staff.