factual

What agreements are binding in relation to a Cinnabon franchise?

Cinnabon Franchise · 2025 FDD

Answer from 2025 FDD Document

Provisions Section in Franchise Agreement
t. Integration/ merger clause FA: 22.2
u. Dispute resolution by arbitration or mediation FA: 19.1
v. Choice of forum FA: 19.1
w. Choice of law FA: 15.6 and 22.5
Provision Section in the SRU Addendum
----------------------------------------------------------- -----------------------------------
a. Length of the SRU Addendum term Not applicable
b. Renewal or extension of the term Not applicable
c. Requirements for franchisee to Not applicable
d. 15
Termination by franchisee
e. Termination by us without cause 15
f. Termination by us with cause 13 and 14
g. "Cause" defined- curable defaults 13
h. "Cause" defined –non-curable defaults 13
i. Franchisee's obligations on Not applicable
termination/non-renewal
j. Assignment of contract by us Not applicable
k. Not applicable
"Transfer" by franchisee-defined
a.Our approval of transfer by Not applicable
franchisee
m. Conditions for our approval of Not applicable
transfer
Provision Section in the SRU Lease Agreement
----------------------------------------------------------- ------------------------------------------
a. Length of the SRU Lease 3
Agreement term
b. Renewal or extension of the term Not applicable
c. Requirements for franchisee to Not applicable
d. Termination by franchisee 14
e. Termination by us without cause 14
f. Termination by us with cause 14
g. "Cause" defined- curable defaults 14
h. "Cause" defined –non-curable defaults 14
i. Franchisee's obligations on 14
termination/non-renewal
Provision Section in the SRU Lease Agreement
---------------------------------------------------------------------------------
j. Not applicable
Assignment of contract by us
k. "Transfer" by franchisee-defined 17
l. Our approval of transfer by 17
franchisee
m. Conditions for our approval of Not applicable
transfer
t. Integration/ merger clause FA: 22.2

Source: Item 17 — Renewal, Termination, Transfer, and Dispute Resolution (FDD pages 93–100)

What This Means (2025 FDD)

According to Cinnabon's 2025 Franchise Disclosure Document, the terms of the Franchise Agreement and related agreements are binding. Any representations or promises made outside of the Disclosure Document and Franchise Agreement may not be enforceable. This is a standard integration or merger clause common in franchise agreements, designed to ensure that only the written terms are legally binding and to prevent disputes based on verbal promises.

For Cinnabon franchisees, this means it is crucial to carefully review and understand all the terms and conditions outlined in the Franchise Agreement and any related documents such as the Express Schedule, Concession Schedule, Co-Brand Bakery Schedule, SRU Addendum, and SRU Lease Agreement. These additional schedules apply to specific types of Cinnabon bakeries, such as Express Bakeries, Concession Bakeries, and Co-Branded Bakeries, and contain provisions that modify or supplement the standard Franchise Agreement. The SRU (Single Retail Unit) Addendum and Lease Agreement outline the terms and conditions for operating within a specific retail location.

Specifically, the SRU Addendum's term length depends on the Franchise Agreement's term. A franchisee can terminate the SRU Addendum with 14 days' notice, while Cinnabon can terminate it with 48 hours' notice, with or without cause. The SRU Lease Agreement terminates when the lease with the landlord or the Franchise Agreement ends. If a franchisee terminates the SRU Lease Agreement before 12 months, they are responsible for the entire 12-month rental payments. Cinnabon can terminate the SRU Lease Agreement with 48 hours' notice, with or without cause.

Prospective Cinnabon franchisees should pay close attention to these integration clauses and ensure that all material terms and conditions are included in the written agreements. They should also seek legal counsel to review these documents and understand their rights and obligations fully. This will help avoid misunderstandings or disputes later on and ensure a clear understanding of the franchise relationship.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.