Under what conditions can Crave terminate a franchise agreement in Michigan before its expiration?
Crave Franchise · 2025 FDDAnswer from 2025 FDD Document
THE STATE OF MICHIGAN PROHIBITS CERTAIN UNFAIR PROVISIONS THAT ARE SOMETIMES IN FRANCHISE DOCUMENTS. IF ANY OF THE FOLLOWING PROVISIONS ARE IN THESE FRANCHISE DOCUMENTS, THE PROVISIONS ARE VOID AND CANNOT BE ENFORCED AGAINST YOU:
- (c) A provision that permits a franchisor to terminate a franchise prior to the expiration of its term except for good cause.
Good cause shall include the failure of the franchisee to comply with any lawful provision of the franchise agreement and to cure such failure after being given written notice thereof and a reasonable opportunity, which in no event need be more than thirty (30) days, to cure such failure.
Source: Item 23 — RECEIPTS (FDD pages 63–253)
What This Means (2025 FDD)
According to Crave's 2025 Franchise Disclosure Document, Michigan franchisees have specific protections regarding franchise termination. Crave can only terminate a franchise agreement before its expiration if there is "good cause." This "good cause" is explicitly defined as the franchisee's failure to comply with any lawful provision of the franchise agreement.
However, even if a franchisee fails to comply with the agreement, Crave must provide written notice of the failure and allow a reasonable opportunity to correct the issue. The FDD specifies that this opportunity to cure the failure need not be more than thirty (30) days. This means that a Crave franchisee in Michigan has at least 30 days to fix any breach of the franchise agreement after receiving written notice from Crave.
This provision is particularly important for prospective franchisees in Michigan as it prevents Crave from terminating the agreement for arbitrary or minor reasons. It ensures that franchisees have a fair chance to address any issues before facing termination, providing a level of security and protection under Michigan franchise law.