If Crave does not elect to acquire the lease for the Franchised Business premises, what modifications or alterations must a franchisee make to the Crave Franchised Business premises?
Crave Franchise · 2025 FDDAnswer from 2025 FDD Document
In the event we do not elect to exercise our option to acquire the lease or sublease for the Franchised Business premises or do not have such option, you shall make such modifications or alterations to the Franchised Business premises as are necessary to distinguish the appearance of the Franchised Business premises from that of other Crave restaurants operating under the System and shall make such specific additional changes as we may reasonably request. If you fail or refuse to comply with the requirements of this Section 18.11, we shall have the right to enter upon the premises of the Franchised Business, without being guilty of trespass or any other crime or tort, to make or cause to be made such changes as may be required, at your expense, which expense you agree to pay upon demand. Notwithstanding the provisions of this Section 18.11 to the contrary, in the event the lease is assigned to us, we hereby indemnify and hold harmless you and any guarantors under said lease, for any breach by us or our successors or assigns from any liability arising out of the lease for the Franchised Business premises from and after the date of the assignment of lease.
Source: Item 23 — RECEIPTS (FDD pages 63–253)
What This Means (2025 FDD)
According to Crave's 2025 Franchise Disclosure Document, if Crave does not exercise its option to acquire the lease or sublease for the franchised business premises, the franchisee is responsible for making modifications or alterations to the premises. These changes must distinguish the appearance of the franchised business from other Crave restaurants operating under the system.
In addition to general modifications, the franchisee must also make specific additional changes as reasonably requested by Crave. This ensures that even if Crave does not take over the lease, the location will not continue to appear as an active Crave franchise.
If the franchisee fails to comply with these requirements, Crave has the right to enter the premises and make the necessary changes at the franchisee's expense. The franchisee agrees to pay these expenses upon demand. However, if the lease is assigned to Crave, Crave will indemnify and hold harmless the franchisee and any guarantors under the lease from any liability arising out of the lease after the date of assignment.