What is the deadline for notifying Crave of the franchisee's death or claim of permanent disability?
Crave Franchise · 2025 FDDAnswer from 2025 FDD Document
- 14.5.2 Upon the death or claim of permanent disability of you or any Principal, you or a representative of yours must notify us of such death or claim of permanent disability within ten (10) days of its occurrence. Any transfer under this Section 14.5 shall be subject to the same terms and conditions as described in this Article 14 for any inter vivos transfer.
Source: Item 23 — RECEIPTS (FDD pages 63–253)
What This Means (2025 FDD)
According to Crave's 2025 Franchise Disclosure Document, in the event of the death or permanent disability of the franchisee or any of their principals, the franchisee or their representative must notify Crave of such an event within ten (10) days of its occurrence. This notification requirement ensures that Crave is promptly informed of any circumstances that may affect the ownership or operation of the franchise.
Following notification, the executor, administrator, conservator, or other personal representative is required to transfer the franchisee's interest in the Franchise Agreement within six (6) months from the date of death or permanent disability to a third party approved by Crave. Failure to complete this transfer within the specified timeframe constitutes a material default, potentially leading to the termination of the franchise agreement.
During the transfer period, the Crave outlet must be supervised by an interim successor manager satisfactory to Crave. Alternatively, Crave may, at its discretion, provide interim management, charging a fee equal to ten percent (10%) of the gross sales generated by the Crave outlet, in addition to covering all costs of travel, lodging, meals, and other expenses reasonably incurred by Crave. This ensures the continued operation of the franchise while the transfer process is underway.