What is the cure period allowed for non-payment to Crave Cookies Franchising before the Franchise Agreement can be terminated?
Crave_Cookies Franchise · 2025 FDDAnswer from 2025 FDD Document
- (b) Subject to 10-Day Cure Period. Crave Cookies Franchising may terminate this Agreement if Franchisee does not make any payment to Crave Cookies Franchising when due, or if Franchisee does not have sufficient funds in its account when Crave Cookies Franchising attempts an electronic funds withdrawal, and Franchisee fails to cure such non-payment within 10 days after Crave Cookies Franchising gives notice to Franchisee of such breach.
Source: Item 22 — CONTRACTS (FDD page 47)
What This Means (2025 FDD)
According to Crave Cookies's 2025 Franchise Disclosure Document, if a franchisee fails to make a payment when due or lacks sufficient funds for an electronic withdrawal, Crave Cookies may terminate the Franchise Agreement. However, Crave Cookies must first provide written notice to the franchisee of the breach. The franchisee then has 10 days from the receipt of this notice to cure the non-payment.
This 10-day cure period is a critical aspect of the franchise agreement, providing a franchisee with a limited window to rectify a payment default and avoid termination. It is important to note that the cure period begins upon receipt of the notice, making it essential for franchisees to have systems in place to promptly address any payment-related issues.
Failure to cure the non-payment within the specified 10-day period grants Crave Cookies the right to proceed with terminating the agreement. This could result in the franchisee losing their rights to operate the franchise, as well as potential financial repercussions as outlined elsewhere in the FDD.