Who bears the responsibility of insuring for fire and all risks associated with the merchandise, Trade Fixtures, and Improvements related to the operation of the Crave Leased Premises?

According to Crave's 2025 Franchise Disclosure Document, the sublessee bears the responsibility of insuring for fire and all risks, including the risk of flood, earthquake, and terrorism, associated with the merchandise, trade fixtures, and improvements related to the operation of the leased premises. This means that as a Crave franchisee operating from a leased location, you are responsible for obtaining and maintaining insurance coverage to protect your business assets against these potential hazards.

This requirement ensures that Crave franchisees are financially protected in the event of unforeseen circumstances such as fire, natural disasters, or acts of terrorism. It also specifies that the landlord is not liable for any damage or injury to the tenant's business property, improvements, betterments, or trade fixtures within the leased premises due to fire or any other risk covered under a Causes of Loss – Special Form Insurance Policy or due to flood, earthquake, or terrorism.

It is important for prospective Crave franchisees to carefully review the insurance requirements outlined in the Franchise Agreement and to consult with an insurance professional to ensure they obtain adequate coverage. Failure to maintain the required insurance coverage could result in a breach of the lease agreement and potential financial losses for the franchisee.