For a Cinnabon franchise, what are considered 'Other Locations' where the franchisor has reserved rights?
Cinnabon Franchise · 2025 FDDAnswer from 2025 FDD Document
- C.
Other Locations. "Other Locations" include all locations other than Streetside Locations, including airports, amusement parks, big box stores, casinos, colleges, convenience stores, farmer's markets, military bases, malls (enclosed and open air), outlet malls and centers, sports and entertainment venues, train stations, transportation centers, travel plazas, truck stops, universities, zoos, and Delivery Kitchens. "Delivery Kitchens" include kitchens devoted to the preparation of products or Approved Products (often referred to as ghost, dark, or cloud kitchens), which may use the Marks and may deliver to customers located anywhere.
- D.
Our Reserved Rights.
We and our affiliates reserve all rights that we do not expressly grant you in this Agreement.
For example, without limitation, we and our affiliates have the following rights, without providing any rights or compensation to you:
- (i) We and/or our affiliates may establish or license franchises and/or company-owned businesses offering products or services that are similar or identical to the Approved Products using the System or elements of the System under the Marks or any other marks (a) anywhere outside of the Area of Protection, (b) in Other Locations inside or outside the Area of Protection, or (c) in businesses other than Swirl Businesses inside or outside the Area of Protection (including businesses that are co-branded with both the Carvel® and Cinnabon® brands).
Source: Item 23 — Receipts (FDD pages 114–399)
What This Means (2025 FDD)
According to Cinnabon's 2025 Franchise Disclosure Document, "Other Locations" encompass a wide array of venues beyond traditional Streetside Locations. These include locations such as airports, amusement parks, big box stores, casinos, colleges, convenience stores, farmer's markets, and military bases. Additionally, Other Locations also incorporate malls (both enclosed and open air), outlet malls and centers, sports and entertainment venues, train stations, transportation centers, travel plazas, truck stops, universities, zoos, and Delivery Kitchens. Delivery Kitchens are defined as kitchens devoted to preparing products, often referred to as ghost, dark, or cloud kitchens, which may use the brand's trademarks and deliver to customers anywhere.
Cinnabon and its affiliates retain specific rights within these "Other Locations." They can establish or license franchises and company-owned businesses that offer similar products or services under the Cinnabon brand or other marks. This applies both inside and outside a franchisee's Area of Protection. They can also operate businesses co-branded with both Carvel and Cinnabon brands in these locations. This reservation of rights allows Cinnabon to explore diverse market segments and distribution channels without being restricted by the protected territories granted to Streetside Location franchisees.
For a prospective Cinnabon franchisee, this means that while they may have an Area of Protection for a Streetside Location, the franchisor can still operate or license other Cinnabon locations in various non-Streetside venues, even within the franchisee's protected area. This is a critical consideration for potential franchisees as it highlights the limitations of their exclusive rights and the potential for competition from other Cinnabon outlets in non-traditional locations. Franchisees should carefully evaluate the potential impact of these reserved rights on their business when assessing the overall opportunity.