Can a waiver granted by the Hck Hot Chicken Franchisor be revoked at any time?
Hck_Hot_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
- 19.3 Waiver and Delay.
No waiver by Franchisor of any default or series of defaults in performance by Franchisee, and no failure, refusal or neglect of Franchisor to exercise any right, power or option given to it hereunder or under any other franchise or license agreement between Franchisor and Franchisee, whether entered into before, after or contemporaneously with the execution hereof (and whether or not related to the Franchised Restaurant) or to insist upon strict compliance with or performance of Franchisee's obligations under this Agreement, any other franchise or license agreement between Franchisor and Franchisee, whether entered into before, after or contemporaneously with the execution hereof (and whether or not related to the Franchised Restaurant) or the HCK Hot Chicken Brand Standards Manual, shall constitute a waiver of the provisions of this Agreement or the HCK Hot Chicken Brand Standards Manual with respect to any subsequent default thereof or a waiver by Franchisor of its right at any time thereafter to require exact and strict compliance with the provisions thereof.
Franchisor will consider written requests by Franchisee for Franchisor's consent to a waiver of any obligation imposed by this Agreement.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 54)
What This Means (2025 FDD)
According to the 2025 Hck Hot Chicken Franchise Disclosure Document, the franchisor's waiver of a franchisee's default does not constitute a permanent relinquishment of Hck Hot Chicken's rights to enforce the agreement. Specifically, if Hck Hot Chicken waives a default, or fails to insist on strict compliance with the franchise agreement or Brand Standards Manual, it does not waive the provisions of the agreement with respect to any subsequent default. This means that even if Hck Hot Chicken overlooks a franchisee's initial failure to meet certain obligations, it retains the right to demand strict compliance in the future.
This clause protects Hck Hot Chicken's ability to enforce its standards consistently across all franchise locations. It ensures that the franchisor can address ongoing or repeated violations, even if they initially showed leniency. However, the FDD also states that Hck Hot Chicken will consider written requests from a franchisee for a waiver of any obligation imposed by the agreement.
For a prospective Hck Hot Chicken franchisee, this implies that any waiver obtained from the franchisor should be carefully documented. While Hck Hot Chicken may consider granting waivers, these are not guaranteed and do not set a precedent for future situations. Franchisees should not assume that a past waiver will protect them from future enforcement if a similar default occurs again. It is important to maintain open communication with Hck Hot Chicken regarding any potential difficulties in meeting the franchise obligations and to seek written clarification on the scope and duration of any granted waiver.