What conditions must be met for Crave to assign the Franchise Agreement to another entity?

According to Crave's 2025 Franchise Disclosure Document, Crave can assign the Franchise Agreement to another entity if the assignee is willing and financially able to assume Crave's obligations under the Franchise Agreement. The assignee must also be someone who, in Crave's good faith judgment, is suitable to take on the responsibilities of the franchise agreement.

This means that if Crave decides to sell the company or its assets, or merges with another entity, they can transfer the franchise agreements to the new owner or entity. However, Crave must ensure that the new entity is capable of fulfilling the obligations outlined in the franchise agreement. This protects the franchisees by ensuring that the new franchisor has the financial stability and willingness to support the Crave franchise system.

For a prospective franchisee, this clause provides some assurance that Crave cannot simply transfer the franchise agreement to any entity without considering their ability to uphold the agreement. It is a fairly standard clause in franchise agreements, designed to protect both the franchisor and the franchisees in the event of a change in ownership or control of the franchise system.