Is Cinnaholic required to remain in the Cinnaholic business after assigning its rights?

According to Cinnaholic's 2025 Franchise Disclosure Document, if Cinnaholic assigns its rights in the Franchise Agreement, it is not required to remain in the Cinnaholic business or to offer or sell any products or services to the franchisee. This means that Cinnaholic has the right to transfer its obligations and rights under the agreement to another party, and once that transfer is complete, Cinnaholic is no longer obligated to continue operating the Cinnaholic business or providing support to the franchisee.

This clause provides Cinnaholic with flexibility in its business operations, allowing it to sell the franchise system or merge with another company without being contractually bound to continue running the Cinnaholic business. For a prospective franchisee, this could mean that the future direction and management of the Cinnaholic franchise could change if Cinnaholic decides to assign its rights.

While this clause gives Cinnaholic significant freedom, it also introduces an element of uncertainty for franchisees. The new owner of the franchise system might have different priorities or strategies, which could impact the franchisee's business. Therefore, it is important for potential franchisees to consider this possibility and evaluate the potential implications of a change in ownership.