factual

After termination of the Craters & Freighters franchise agreement, what must the franchisee do with telephone numbers associated with the franchised business?

Craters_Freighters Franchise · 2025 FDD

Answer from 2025 FDD Document

  • 20.1.4 Discontinue Telephone Numbers. Franchisee must discontinue the use of all telephone numbers associated with the Franchised Business and transfer such numbers to Franchisor.

Source: Item 22 — CONTRACTS (FDD pages 49–50)

What This Means (2025 FDD)

According to the 2025 Craters & Freighters Franchise Disclosure Document, after the termination of the franchise agreement, the franchisee must discontinue using all telephone numbers associated with the franchised business. Furthermore, the franchisee is required to transfer these telephone numbers to Craters & Freighters.

This provision ensures that Craters & Freighters maintains control over its brand identity and customer communication channels. By transferring the phone numbers, Craters & Freighters can continue to serve customers in the territory and prevent confusion that might arise if a former franchisee continued to use the same numbers. This is a fairly standard practice in franchising, as franchisors typically want to ensure a smooth transition and protect their brand reputation when a franchise agreement ends.

For a prospective Craters & Freighters franchisee, this means understanding that upon termination (whether voluntary or involuntary), they will lose the right to use the business's phone numbers. This could impact their ability to start a similar business independently in the same area, as they would need to establish new contact information and potentially rebuild their customer base under a new brand. Franchisees should factor this into their long-term business plans and exit strategies.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.