What is the obligation of a Potbelly Sandwich Works franchisee to update Exhibit A?

According to Potbelly Sandwich Works' 2025 Franchise Disclosure Document, franchisees are obligated to update Exhibit A to reflect any permitted changes to the information it contains. This obligation is subject to Potbelly Sandwich Works' rights and the franchisee's obligations as outlined in Section 12 of the franchise agreement. Exhibit A initially identifies the Managing Owner and Operator (if applicable) of the Potbelly Sandwich Works shop as of the effective date of the agreement.

Exhibit A to the Franchise Agreement completely and accurately identifies all of the franchisee's owners and their interests in the franchise as of the effective date. It also includes the formation and principle details, such as the date the franchisee was incorporated or formed, under the laws of the state, and a confirmation that the franchisee has not conducted business under any name other than its corporate, limited liability company, or partnership name.

In practical terms, this means that if there are any changes to the ownership structure, the Managing Owner, or the Operator of the Potbelly Sandwich Works location that are permitted under the franchise agreement, the franchisee must formally update Exhibit A and submit it to Potbelly Sandwich Works. This ensures that Potbelly Sandwich Works always has current and accurate information about the ownership and management of each franchise location. This requirement helps Potbelly Sandwich Works maintain control over its franchise system and ensures compliance with the terms of the franchise agreement.