Is Crave's Franchisor's rights and remedies assignable to its affiliates, successors, and assigns?

According to Crave's 2025 Franchise Disclosure Document, the franchisor's rights and remedies under the franchise agreement are fully assignable and transferable. This means Crave can transfer its rights and remedies to its affiliates, successors, and assigns. This is a standard practice in franchising, allowing the franchisor to adapt its business structure or transfer ownership without disrupting existing franchise agreements.

For a prospective franchisee, this clause implies that the entity they initially contract with may change over the term of the agreement. While Crave can assign its rights, the document also stipulates that no assignment will be made except to an assignee who, in the good faith and judgment of the franchisor, is willing and financially able to assume the franchisor's obligations under the Franchise Agreement. This provides some assurance that any new franchisor will be capable of fulfilling the obligations.

However, the franchisee's obligations under the agreement cannot be assigned without Crave's prior written consent. This protects Crave's interests by ensuring that the franchisee cannot transfer their responsibilities to another party without approval. This is also a common provision in franchise agreements, as the franchisor relies on the specific skills and qualifications of the original franchisee.

In practical terms, a franchisee should be aware that while the Crave brand and system are expected to remain consistent, the actual company overseeing the franchise may change. It is important to carefully review the financial stability and reputation of any potential new franchisor if such a transfer occurs.