Does Carvel reserve the right to modify the elements of the System?
Carvel Franchise · 2025 FDDAnswer from 2025 FDD Document
Notwithstanding the foregoing, you acknowledge that we only authorize Express Shoppes to produce and sell a limited selection of Approved Products, as may be modified by us from time to time in writing. Your menu offering will be determined by us prior to the Opening Date and may include some or all of the following:
- (i) Cup & Cone Vanilla, Chocolate or Swirl
- (ii) Classic Sundaes Strawberry, Chocolate or Carmel
- (iii) Thick Shakes Vanilla, Chocolate or Strawberry
- (iv) Carvelanche® products- Your Choice of Toppings
- (v) Frozen Novelty Products
- I. Section 18.1 (General Obligations) is amended to add that you must immediately return to us all molds related to the System.
[SCHEDULE A SIGNATURE PAGE FOLLOWS]
Signature Page for Schedule A (Franchise Specific Terms)
«Z1_First_Name» «Z1_Last_Name» a «Z1_State_of_Formation» «Z1_Entity_Type» Name: «Signee_1_name» Title: «Signee_1_title» Name: «Signee_2_name» Title: «Signee_2_title»
CARVEL HOSTED EXPRESS SCHEDULE
If you will be operating a Carvel Hosted Express Shoppe, the following Schedule will replace
Source: Item 23 — Receipts (FDD pages 100–353)
What This Means (2025 FDD)
According to Carvel's 2025 Franchise Disclosure Document, Carvel and its affiliates retain rights not explicitly granted to the franchisee, including the right to modify the System. Specifically, Carvel may establish or license franchises and company-owned businesses offering similar products using the System or its elements under the Carvel marks or other marks. This can occur outside the franchisee's Area of Protection, in Other Locations (such as airports or malls) within or outside the Area of Protection, or in businesses other than Swirl Businesses.
For Carvel Hosted Express Shoppes, the franchisor can modify the limited selection of approved products that these locations are authorized to produce and sell. The menu offering for these locations is determined by Carvel before the opening date and may include items like Cup & Cone, Classic Sundaes, Thick Shakes, Carvelanche products, and Frozen Novelty Products.
Furthermore, Carvel reserves the right to change, upgrade, or discontinue any components of the Computer System, which franchisees must comply with at their own expense. This includes the point-of-sale system, computer and technology systems, software, hardware, and internet access. Carvel also has the right to retrieve data from the franchisee's Computer System and can mandate the use of specific polling services. These modifications can occur at any time, and Carvel bears no liability for requiring these changes or for unauthorized modifications made by the franchisee.
These reserved rights and modification abilities allow Carvel to adapt to market changes, introduce new products or services, and maintain brand consistency across all franchise and company-owned locations. However, it also means that franchisees must be prepared to invest in upgrades and modifications to the System as directed by Carvel, which could impact their operating costs and business model.