Does the franchisee have to agree to Craters & Freighters delegating its obligations to third parties?
Craters_Freighters Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee acknowledges that Franchisor will have the right to delegate the performance of any portion of its obligations and duties hereunder to third parties from time to time, whether such third parties are agents of Franchisor or independent contractors, which Franchisor has contracted with to provide such services.
Franchisee agrees in advance to any such delegation by Franchisor of any portion or all of its obligations and duties hereunder.
Source: Item 22 — CONTRACTS (FDD pages 49–50)
What This Means (2025 FDD)
According to the 2025 Craters & Freighters Franchise Disclosure Document, franchisees must agree in advance to Craters & Freighters delegating its duties to third parties. Craters & Freighters retains the right to delegate the performance of any part of its obligations and duties under the agreement to third parties, who may be agents or independent contractors contracted to provide such services.
This means that Craters & Freighters can outsource various aspects of its responsibilities to other companies or individuals. This could include services like marketing, training, or supply chain management.
For a prospective franchisee, this clause signifies that they must accept that Craters & Freighters may not directly handle all aspects of the franchise support and operations. While this delegation could potentially bring specialized expertise and efficiency, it also means the franchisee will be dealing with third-party providers who may not be directly accountable to the franchisee in the same way Craters & Freighters would be. It is important for a prospective franchisee to understand which specific obligations Craters & Freighters might delegate and to evaluate the reputation and reliability of potential third-party service providers.