Is a Crave franchisee required to participate in complaint resolution programs established by the franchisor?
Crave Franchise · 2025 FDDAnswer from 2025 FDD Document
You shall participate in all customer surveys and satisfaction audits, which may require that you provide discounted or complimentary products, provided that such discounted or complimentary sales shall
not be included in the Gross Sales of the Franchised Business. Additionally, you shall participate in any complaint resolution and other programs as we may reasonably establish for the System, which programs may include, without limitation, providing discounts or refunds to customers.
7.11 Mystery Shopper Service
We may designate an independent evaluation service to conduct a "mystery shopper" quality control and evaluation program with respect to Franchised Businesses. You agree that the Franchised Business will participate in such mystery shopper program, as prescribed and required by us, provided that Crave businesses owned by us, our affiliates and our franchisees also will participate in such program to the extent we have the right to require such participation, and you further agree to pay all fees related to such mystery shopper program.
Source: Item 23 — RECEIPTS (FDD pages 63–253)
What This Means (2025 FDD)
According to Crave's 2025 Franchise Disclosure Document, franchisees are required to participate in complaint resolution programs established by Crave. These programs may include providing discounts or refunds to customers.
Crave also mandates participation in customer surveys and satisfaction audits, potentially requiring franchisees to offer discounted or complimentary products. However, the FDD specifies that these discounted or complimentary sales will not be included in the calculation of the Franchised Business's Gross Sales.
Additionally, Crave may implement a "mystery shopper" quality control program, in which franchisees must participate and pay the associated fees. This program also extends to Crave businesses owned by the company, its affiliates, and other franchisees, ensuring a consistent evaluation process across the system.