If a Non-Traditional Site is located within the physical boundaries of a Crave franchisee's Designated Territory, does the franchisee have any rights to that Non-Traditional Site?
Crave Franchise · 2025 FDDAnswer from 2025 FDD Document
- 1.5.2 You understand and acknowledge that if any Non-Traditional Site (as described above) is located within the physical boundaries of your Designated Territory, then the premises of this Non-Traditional Site will not be included in your Designated Territory and you will have no rights to this Non-Traditional Site.
Source: Item 23 — RECEIPTS (FDD pages 63–253)
What This Means (2025 FDD)
According to Crave's 2025 Franchise Disclosure Document, a franchisee has no rights to a Non-Traditional Site, even if it is located within the boundaries of their designated territory.
Crave defines Non-Traditional Sites as locations such as gas stations, convenience stores, transportation facilities (airports, train stations, etc.), military bases, government offices, sports facilities, amusement parks, zoos, convention centers, rest stops, travel centers, educational facilities, recreational theme parks, hospitals, business or industrial foodservice venues, locations with master concessionaires, Indian reservations, and casinos. Crave retains the right to operate or franchise others to operate at these Non-Traditional Sites, even if they fall within a franchisee's designated territory.
This means that while a franchisee may have a protected territory for traditional Crave restaurants, the franchisor can still establish Crave locations in Non-Traditional Sites within that territory without providing any compensation or rights to the franchisee. This is a significant consideration for prospective franchisees as it limits their control over the brand within their territory and introduces potential competition from other Crave outlets.