What actions related to audits or inspections can lead to termination of the Crave Cookies franchise agreement?

According to Crave Cookies' 2025 Franchise Disclosure Document, there are specific actions or failures related to inspections and audits that can lead to the termination of the franchise agreement. Refusal to cooperate with or permit any audit or inspection by Crave Cookies or its agents, or failing to comply with sections 10.5 or 11.2 of the agreement, can result in termination. Additionally, failing to achieve a passing score on an inspection conducted by Crave Cookies two or more times in any 36-month period can also lead to termination of the agreement.

These stipulations highlight the importance of maintaining standards and compliance within the Crave Cookies franchise system. Franchisees are expected to be transparent and cooperative during audits and inspections, as these are mechanisms used by Crave Cookies to ensure brand consistency and quality control. The consequences of failing to meet inspection standards or obstructing audits can be severe, potentially leading to the loss of the franchise.

Prospective Crave Cookies franchisees should understand the importance of adhering to the brand's standards and maintaining accurate records. They should be prepared to undergo regular inspections and audits and to take corrective action promptly if any deficiencies are identified. Failing to do so could jeopardize their investment and their right to operate the franchise. Franchisees should familiarize themselves with sections 10.5 and 11.2 of the franchise agreement to fully understand their obligations in regards to audits and inspections.