What is the range of non-compliance fees that Cinnabon may charge for violations of standards or the agreement?
Cinnabon Franchise · 2025 FDDAnswer from 2025 FDD Document
u fail or refuse to comply with any or all of the remedial measures we require; (iii) you fail to provide us with full cooperation in the course of any inspection or analysis we conduct; or (iv) we determine that there has been any repetition during the Term of any occurrence under Section 12.4.A., then you will pay us a fee for the inspection or analysis in the amount of $5,000; plus the travel and living expenses of our inspectors or representatives and any other expenses we incur in connection with this Section, including our attorneys' fees.
- C. Remedies Not Exclusive. The remedies stated in this Section 12.4 are in addition to, and not in substitution of, any other remedies stated in this Section 12.4 or elsewhere in this Agreement. Nothin
Source: Item 23 — Receipts (FDD pages 114–399)
What This Means (2025 FDD)
According to Cinnabon's 2025 Franchise Disclosure Document, franchisees may be subject to non-compliance fees for failing to adhere to the brand's standards or any provision within the franchise agreement. These fees are imposed at Cinnabon's discretion, following written notice to the franchisee.
The current range for these non-compliance fees is $25 to $500 per single violation. The exact amount of the fee depends on factors such as the severity and frequency of the violation, and whether the violation has been repeated.
These fees are detailed in the Cinnabon manuals or other written communications, and Cinnabon retains the right to modify them periodically with written notice. Furthermore, these fees can be charged repeatedly, even daily, if the non-compliance is ongoing. However, the fees may only be increased each calendar year by no more than the Allowed Adjustment. This is in addition to any other remedies Cinnabon may pursue.