What actions must a Cinnabon franchisee take if Cinnabon revokes approval of a previously approved supplier?
Cinnabon Franchise · 2025 FDDAnswer from 2025 FDD Document
If you receive a notice of revocation of approval, you agree to cease purchasing or leasing the formerly-approved Goods or any Goods from the formerly-approved Supplier and you must dispose of your remaining inventory of the formerly-approved Goods as we direct.
If we revoke approval of a formerly-approved Approved Product that you have been selling to customers or service that you have been offering to customers, you must immediately discontinue offering the service and may continue to sell the product only from your existing inventory for up to 30 days following our disapproval.
We have the right to shorten this period if, in our opinion, the continued sale of the product would prove detrimental to our reputation.
After the 30-day period, or such shorter period that we may designate, you must dispose of your remaining formerly-approved inventory as we direct.
Source: Item 23 — Receipts (FDD pages 114–399)
What This Means (2025 FDD)
According to the 2025 Cinnabon Franchise Disclosure Document, if Cinnabon revokes approval of a previously approved supplier, franchisees must immediately stop purchasing or leasing goods from that supplier and dispose of any remaining inventory of the formerly-approved goods as directed by Cinnabon.
If Cinnabon revokes approval of a product or service that the franchisee has been selling or offering, the franchisee must immediately discontinue offering the service. The franchisee may continue to sell the product only from their existing inventory for up to 30 days following the disapproval.
Cinnabon retains the right to shorten the 30-day period if they believe that the continued sale of the product would be detrimental to Cinnabon's reputation. After the 30-day period, or the shortened period designated by Cinnabon, the franchisee must dispose of any remaining formerly-approved inventory as directed by Cinnabon.