factual

What is the condition for opening subsequent Crave Cookies locations in any order?

Crave_Cookies Franchise · 2025 FDD

Answer from 2025 FDD Document

execute Crave Cookies Franchising's then-current standard form of franchise agreement no later than three business days after Franchisee leases or acquires a location. This MUDA does not give Franchisee the right to construct, open, or operate a Crave Cookies business, and Franchisee acknowledges that Franchisee may construct, open, and operate each Crave Cookies business only pursuant to a separate franchise agreement executed pursuant to this MUDA for each such Crave Cookies business.

  • 3. Development Area. Franchisee shall locate the first location in the Development Area indicated on the Summary Page of this Franchise Agreement. Subsequent areas may be opened in any order so long as each Opening Deadline is met in order. Franchisee acknowledges that it does not have exclusive rights to develop, open or operate Crave Cookies businesses in the Development Area.
  • **4.

Source: Item 23 — RECEIPTS (FDD pages 47–194)

What This Means (2025 FDD)

According to Crave Cookies' 2025 Franchise Disclosure Document, franchisees with multi-unit agreements can open subsequent locations in any order, provided they meet the opening deadlines for each location. The franchisee must first establish their initial Crave Cookies store in the designated Development Area as specified in the Franchise Agreement.

However, the right to develop each Crave Cookies franchise after the initial store is contingent upon certain conditions. Crave Cookies Franchising must deem the franchisee to have sufficient financial and organizational capacity to manage each additional location. Additionally, the franchisee must be in full compliance with all brand requirements at their existing Crave Cookies businesses and must not be in default under any agreement with Crave Cookies Franchising.

It's important to note that the MUDA (Multi-Unit Development Agreement) can be terminated if the franchisee fails to meet the development schedule or if Crave Cookies Franchising has the right to terminate any existing franchise agreement due to the franchisee's default. While the franchisee commits to developing multiple Crave Cookies businesses, this commitment is treated as an option, limiting liability for lost future revenues or profits from unopened locations if the MUDA is terminated due to the franchisee's default. The franchisee also has the option to terminate the MUDA at any time.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.