What is the fine for a Crave Cookies franchisee's first infraction of carrying non-approved menu items?

According to Crave Cookies' 2025 Franchise Disclosure Document, the penalty for a first offense related to infractions will be either a verbal warning or a formal written warning, which will be documented in the franchisee's file. This applies to instances where a franchisee is found to be in non-compliance with Crave Cookies' system, manuals, or standards, which includes offering only those menu items prescribed by Crave Cookies. The written notice will detail the nature of the infraction, reference the specific section of the franchise agreement or Brand Standards and Operations Manual that has been violated, and indicate the severity level of the infraction (Mild, Moderate, Severe).

Crave Cookies Franchising, LLC will follow up with the franchisee within the specified correction time frame to verify if the issue has been rectified. Follow-up will include an inspection or review of submitted evidence (e.g., photos, reports). The timeframe for correction will be based on the severity of the infraction and outlined in the infraction tiers in the FDD and the Brand Standards and Operations Manual. Typical timeframes are 7-14 days for Mild Infractions, 24 hours to 7 days for Moderate Infractions, and Immediate to 24 hours for Severe Infractions.

If the infraction is not corrected within the specified timeframe, penalties will escalate according to the severity tier. For a third offense, fines range from $100 for a mild infraction to $5,000 for a severe infraction, potentially leading to consideration for termination of the franchise agreement. Crave Cookies Franchising, LLC will thoroughly document every step of the process, including warnings, communications, and the franchisee's responses.