What advertising restrictions are placed on a Carvel franchisee who wants to sell their Franchised Business?
Carvel Franchise · 2025 FDDAnswer from 2025 FDD Document
- 16.9 Restrictions on Advertising Sale of Franchised Business.
You may not, without our prior written consent: (i) place in, on, or upon the Accepted Location any advertisement for the transfer, sale, or other disposition of the Franchised Business or any ownership interest in you, (ii) use any Marks in advertising (in any form of media) the transfer, sale, or other disposition of the Franchised Business or any ownership interest in you, or (iii) list the Franchised Business or any ownership interest in you with any business broker, real estate broker, agent, or attorney.
Source: Item 23 — Receipts (FDD pages 100–353)
What This Means (2025 FDD)
According to Carvel's 2025 Franchise Disclosure Document, a franchisee faces specific restrictions when advertising the sale of their franchised business. Without Carvel's prior written consent, a franchisee cannot place any advertisement for the transfer, sale, or disposition of the Franchised Business on the Accepted Location.
Additionally, the franchisee is prohibited from using any of Carvel's Marks in advertising the transfer, sale, or other disposition of the Franchised Business in any form of media. This restriction ensures that the Carvel brand is protected and that any advertising related to the sale of a franchise meets the standards and guidelines set by Carvel.
Furthermore, a Carvel franchisee is not allowed to list the Franchised Business or any ownership interest with any business broker, real estate broker, agent, or attorney without prior written consent from Carvel. These restrictions are in place to maintain control over who becomes a Carvel franchisee and to ensure a smooth transition process that aligns with Carvel's strategic interests.