How can the Crave agreement be modified?
Crave Franchise · 2025 FDDAnswer from 2025 FDD Document
e General Business Law of the State of New York.
The parties hereto have duly executed, sealed, and delivered this Addendum dated FRANCHISOR: CRAVE FRANCHISING, LLC PRINCIPALS: 85 CRAVE FDD 2025 A
ADDENDUM TO THE DISCLOSURE DOCUMENT, FRANCHISE AGREEMENT, AND MULTI-UNIT DEVELOPMENT AGREEMENT REQUIRED BY THE STATE OF SOUTH DAKOTA
In the State of South Dakota, we will defer the payment of the initial franchise fee, development fee, and any other initial payment until all of our material pre-opening obligations have been satisfied and until you open your business and it is operating. However, you must execute the Franchise Agreement prior to looking for a site or beginning training.
CRAVE FRANCHISING, LLC PRINCIPALS:
ADDENDUM REQUIRED BY THE COMMONWEALTH OF VIRGINIA
In recognition of the restrictions contained in Section 13.1-564 of the Virginia Retail Franchising Act, the Franchise Disclosure Document for CRAVE Franchising, LLC for use in the Commonwealth of Virginia shall be amended as follows:
- Additional Disclosure: The following statements are added to Item 17.h:
Pursuant to Section 13.1-564 of the Virginia Retail Franchising Act, it is unlawful for a franchisor to cancel a franchise without reasonable cause.
Source: Item 23 — RECEIPTS (FDD pages 63–253)
What This Means (2025 FDD)
According to the 2025 Crave FDD, the franchise agreement can be modified through addendums. Specifically, the FDD mentions an addendum required by the Commonwealth of Virginia that addresses restrictions related to franchise cancellation as per Section 13.1-564 of the Virginia Retail Franchising Act. This addendum clarifies that if any default or termination grounds in the franchise agreement do not constitute "reasonable cause" under Virginia law, those provisions may not be enforceable.
Additionally, there is an addendum required by the State of South Dakota. This addendum states that in South Dakota, Crave will defer the payment of the initial franchise fee, development fee, and any other initial payment until all material pre-opening obligations have been satisfied and until the franchisee opens their business and it is operating. However, the franchisee must execute the Franchise Agreement prior to looking for a site or beginning training.
These addendums suggest that Crave franchise agreements can be modified to comply with specific state laws or to address particular circumstances. It is important for prospective franchisees to carefully review any addendums applicable to their state and to understand how these modifications may affect their rights and obligations under the franchise agreement. Franchisees should consult with a legal professional to fully understand the implications of any addendums or modifications to the Crave franchise agreement.