Does the right of first refusal apply to Cinnabon Express Bakeries?

According to Cinnabon's 2025 Franchise Disclosure Document, the franchisor's right of first refusal to acquire a franchisee's business does not apply to Express Bakeries. The table in Item 17 outlines various provisions related to the transfer of a Cinnabon franchise, and it specifically notes that the franchisor's right of first refusal, typically detailed in Franchise Agreement Section 16.8, is 'not applicable for an Express Bakery,' as indicated in Express Schedule Section 20.Q.

This means that if a Cinnabon Express Bakery franchisee decides to sell their business, Cinnabon does not have the first option to buy it by matching any offer the franchisee receives. This could provide more flexibility for Express Bakery franchisees when they decide to exit the business, as they are not restricted by Cinnabon's potential interest in acquiring their specific location.

However, it is important to note that while the right of first refusal may not apply, other transfer conditions likely still exist. The franchisee would still need to provide Cinnabon with prior written notice of the transfer and ensure the transferee meets Cinnabon's qualifications. The transferee would also need to sign the assignment and guaranty agreements. Therefore, while Cinnabon waives its right to first refusal, the transfer process is still subject to Cinnabon's approval and other standard conditions to protect the brand and ensure qualified new ownership.