Does Crave's failure to exercise its option to purchase a Crave franchisee's business waive any other provisions of the Development Agreement?

According to Crave's 2025 Franchise Disclosure Document, Crave's failure to exercise its option to purchase a franchisee's business does not constitute a waiver of any other provision within the Development Agreement. This means that even if Crave decides not to buy back a franchise, all other terms and conditions of the agreement remain in full effect.

Specifically, if a franchisee receives a legitimate offer from a third party to purchase their business, Development Rights, and interests, Crave has the option to match that offer within 30 days of receiving written notice. This notice must include the potential buyer's information, the offer's price and terms, and a copy of the offer itself. Crave may also request financial statements and other operational details to help them decide whether to exercise their option.

If Crave declines the offer or does not respond in writing within the 30-day period, the franchisee can proceed with selling to the third party, provided that Crave has already consented to the transfer. However, any significant changes to the offer's terms before the sale closes are considered a new offer, which would again be subject to Crave's right of first refusal. This ensures Crave maintains control over who enters their franchise system and under what conditions.