Does the Cinnaholic FDD require a renewal provision?

According to the 2025 Cinnaholic FDD, a renewal provision is not required in the franchise agreement. However, the FDD stipulates that in Michigan, a franchisor cannot refuse to renew a franchise on terms not generally available to other franchisees of the same class under similar circumstances. This condition does not mandate a renewal provision but sets standards for renewal terms if offered.

This information is particularly relevant for prospective Cinnaholic franchisees in Michigan. While Cinnaholic is not obligated to offer a renewal, if they do, the terms must be consistent with what is offered to other franchisees in similar situations. This protects franchisees from potentially discriminatory renewal terms.

For franchisees outside of Michigan, the absence of a required renewal provision means that Cinnaholic has the discretion to decide whether or not to offer a renewal of the franchise agreement. This could create uncertainty for franchisees as the end of their initial term approaches, as they have no guarantee of being able to continue operating their Cinnaholic location beyond the initial franchise term. It is important to discuss renewal options and the typical renewal process with Cinnaholic prior to signing the franchise agreement.