Does James H. Nogle, as Secretary and Director, own any of the restaurant buildings leased to Monicals Pizza?
Monicals_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
From August 1993 to the present, Mr. Nogle has been our Secretary. From June 1989 to the present, Mr. Nogle has been a member of our Board of Directors. From March 1987 to August 1993, Mr. Nogle was our Assistant Secretary. From 1974 to the present, Mr. Nogle has been in the real estate management business in Champaign, Illinois. Mr. Nogle also owns one or more of the restaurant buildings, together with the real estate on which they are located, which are leased to Monical's for the operation of the Monical Restaurants.
Source: Item 2 — BUSINESS EXPERIENCE (FDD pages 7–9)
What This Means (2025 FDD)
According to Monicals Pizza's 2025 Franchise Disclosure Document, James H. Nogle, the Secretary and Director of Monicals Pizza, is involved in real estate. Specifically, since 1974, he has been active in the real estate management business in Champaign, Illinois.
Importantly, the FDD states that Mr. Nogle owns one or more of the restaurant buildings and the real estate they are on, which are then leased to Monicals Pizza for the operation of Monicals Pizza restaurants. This arrangement means that Monicals Pizza pays rent to Mr. Nogle for the use of these properties.
For a prospective franchisee, this information highlights a potential conflict of interest. As Secretary and Director, Mr. Nogle has a fiduciary duty to Monicals Pizza. However, as a landlord, his interests may diverge from those of the company. Franchisees might want to inquire about the terms of these leases, how they were negotiated, and whether they are at market rates to ensure fairness and transparency.