How do the provisions of the Cinnaholic Franchise Agreement concerning termination and non-renewal apply in California if they are inconsistent with the California Franchise Relations Act or federal bankruptcy law?

According to Cinnaholic's 2025 Franchise Disclosure Document, if any part of the Cinnaholic Franchise Agreement regarding the termination or non-renewal of a franchise conflicts with the California Franchise Relations Act or federal bankruptcy law, then those laws will take precedence. This means that Cinnaholic franchisees in California receive the protections afforded to them by California state law and federal law, regardless of what the franchise agreement might state.

This provision is important for prospective Cinnaholic franchisees in California because it ensures that certain rights and protections cannot be overridden by the franchise agreement. For example, the California Franchise Relations Act regulates the circumstances under which a franchise can be terminated or not renewed, providing franchisees with specific legal rights in these situations. Similarly, federal bankruptcy law provides certain protections to franchisees in the event of bankruptcy.

Essentially, this clause ensures that Cinnaholic franchisees operating in California are not bound by franchise agreement terms that would violate California or federal law regarding franchise termination and non-renewal. Franchisees should consult with a legal professional to fully understand their rights under these laws and how they interact with the franchise agreement.