What is the deadline for a Cinnaholic franchisee to notify the Franchisor of a Manager's cessation of employment?
Cinnaholic Franchise · 2025 FDDAnswer from 2025 FDD Document
If there are any changes in the identity of any such Bound Party while this Agreement is in effect, Franchisee must notify Franchisor promptly and make sure the new Bound Party signs and delivers to Franchisor the Personal Covenants.
Source: Item 22 — CONTRACTS (FDD pages 61–62)
What This Means (2025 FDD)
The 2025 Cinnaholic Franchise Disclosure Document does not specify a deadline for notifying the franchisor when a manager's employment ends. However, the document does state that if there are any changes in the identity of any Bound Party while the agreement is in effect, the franchisee must notify Cinnaholic promptly. A "Bound Party" is defined in Exhibit B of the Personal Covenants, which each Bound Party must sign and deliver to Cinnaholic.
While a specific timeframe isn't provided for manager departures, the FDD emphasizes the importance of training and operational standards. Franchisees must implement a training program approved by Cinnaholic for their employees and ensure they are properly trained. They also agree not to employ anyone who fails to complete the training program or is unqualified to perform their duties. This suggests that Cinnaholic places a high value on maintaining consistent operational standards through well-trained staff.
Given the lack of a specific deadline for manager departures, prospective Cinnaholic franchisees should clarify the notification timeframe with the franchisor. Understanding the expected response time will help ensure compliance with franchise agreement terms and maintain a positive working relationship with Cinnaholic.