Does Noodles & Company have the right to reduce the scope of any covenant in the agreement?
Noodles_Company Franchise · 2025 FDDAnswer from 2025 FDD Document
- 7.05 Reduction in Scope. You understand and acknowledge that Noodles & Company shall have the right, in its sole discretion, to reduce the scope of any covenant set forth in this Agreement, or any portion thereof, without your consent, effective immediately upon written notice to you. You shall comply forthwith with any covenant as so modified, which shall be fully enforceable notwithstanding the provisions hereof.
Source: Item 23 — RECEIPT (FDD pages 99–350)
What This Means (2025 FDD)
According to the 2025 Noodles & Company Franchise Disclosure Document, Noodles & Company has the right to reduce the scope of any covenant in the franchise agreement. This reduction can be made at Noodles & Company's sole discretion and without the franchisee's consent.
The reduction in scope becomes effective immediately upon written notice to the franchisee. The franchisee is then required to comply with the covenant as modified. This modification is fully enforceable, regardless of any other provisions in the agreement.
This clause gives Noodles & Company considerable flexibility to adjust the restrictions placed on franchisees during the term of the agreement. A prospective franchisee should carefully consider the implications of this clause, as it could impact their operational freedom and competitive activities. It is advisable to seek legal counsel to fully understand the potential impact of this provision.