Does the Crave Cookies Franchise Disclosure Document include the franchise and related agreements?
Crave_Cookies Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in franchise or other agreement | Summary |
|---|---|---|
| a. Length of the franchise term | Franchise Agreement (FA): § 3.1 Multi-Unit Development Agreement (MUDA): none | 10 years from date of franchise agreement. |
| b. Renewal or extension of the term | FA: § 3.2 MUDA: none | If you are in good standing at the end of the franchise term and in compliance with all the terms of this agreement, you may obtain a successor franchise agreement for a 5-year term. Your successor agreement may also provide an option to enter into a subsequent successor franchise agreement. |
| c. Requirements for franchisee to renew or extend | FA: § 3.2 MUDA: none | For our franchise system, “renewal” means that at the end of your term, you sign our successor franchise agreement for an additional 5-year term. You may be asked to sign a contract with materially different terms and conditions than your original contract. |
| t. Integration/merger clause | FA: § 18.3 MUDA: § 7 | Only the terms of the agreement are binding (subject to state law). Any representations or promises outside of the disclosure document and franchise agreement (or MUDA) may not be enforceable. However, no claim made in any franchise agreement (or MUDA) is intended to disclaim the express representations made in this Disclosure Document. |
| --- | --- | --- |
| u. Dispute resolution by litigation or mediation | FA: § 17.1 MUDA: § 7 | Except for certain claims, for disputes there must be a face-to-face meeting, mediation and litigation (subject to applicable state law). |
| v. Choice of forum | FA: §§ 17.1; 17.5 MUDA: § 7 | Litigation will take place where our headquarters are located (currently, Holladay, Utah) (subject to applicable state law). Any legal proceedings will take place in the District Court of the United States, in the district where our headquarters is then located, or if this court lacks jurisdiction, the state courts of the state and county where our headquarters is then located (subject to applicable state law). |
| w. Choice of law | FA: § 18.8 | Utah (subject to applicable state law). |
| MUDA: § 7 | ||
| libel | ||
| of | ||
| us; | ||
| refusal | ||
| to | ||
| cooperate | ||
| with | ||
| our | ||
| business | ||
| inspection; | ||
| cease | ||
| operations | ||
| for | ||
| more | ||
| than | ||
| 5 | ||
| consecutive | ||
| days; | ||
| three | ||
| defaults | ||
| in | ||
| 12 | ||
| months; | ||
| cross-termination; | ||
| charge | ||
| or | ||
| conviction | ||
| of, | ||
| or | ||
| plea | ||
| to | ||
| a | ||
| felony, | ||
| or | ||
| commission | ||
| or | ||
| accusation | ||
| of | ||
| an | ||
| act | ||
| that | ||
| is | ||
| reasonably | ||
| likely | ||
| to | ||
| materially | ||
| and | ||
| unfavorably | ||
| affect | ||
| our | ||
| brand; | ||
| score | ||
| below | ||
| 90/A | ||
| on | ||
| government | ||
| health | ||
| inspections | ||
| more | ||
| than | ||
| twice | ||
| in | ||
| 36 | ||
| months, | ||
| score | ||
| below | ||
| passing | ||
| grade | ||
| on | ||
| brand | ||
| inspection | ||
| more | ||
| than | ||
| twice | ||
| in | ||
| 36 | ||
| months; | ||
| any | ||
| other | ||
| breach | ||
| of | ||
| franchise | ||
| agreement | ||
| which | ||
| by | ||
| its | ||
| nature | ||
| cannot | ||
| be | ||
| cured. | ||
| Violation | ||
| of | ||
| the | ||
| franchise | ||
| agreement | ||
| or | ||
| other | ||
| agreement | ||
| gives | ||
| us | ||
| the | ||
| right | ||
| to | ||
| terminate | ||
| it. | ||
| If | ||
| you | ||
| fail | ||
| to | ||
| meet | ||
| the | ||
| development | ||
| schedule | ||
| in | ||
| your | ||
| franchise | ||
| agreement | ||
| or | ||
| MUDA, | ||
| those | ||
| agreements | ||
| are | ||
| automatically | ||
| terminated. | ||
| We | ||
| have | ||
| the | ||
| right | ||
| to | ||
| grant | ||
| an | ||
| extension. | ||
| In | ||
| a | ||
| MUDA | ||
| with | ||
| multiple | ||
| locations, | ||
| missing | ||
| one | ||
| development | ||
| deadline | ||
| will | ||
| operate | ||
| to | ||
| invalidate | ||
| the | ||
| entire | ||
| MUDA. | ||
| ---------------------------------------------------------------------- | ----------------------------------------------------------------------- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |
| i. Franchisee's obligations on termination/non-renewal | FA: §§ 14.3 – 14.6 MUDA: none | Pay all amounts due; return Manual and proprietary items; notify phone, internet, and other providers and transfer service; cease doing business; remove identification; purchase option by us. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION THE FRANCHISE RELATIONSHIP (FDD pages 34–38)
What This Means (2025 FDD)
According to Crave Cookies's 2025 Franchise Disclosure Document, the document references both the Franchise Agreement (FA) and the Multi-Unit Development Agreement (MUDA). The FDD outlines various provisions within these agreements, such as the length of the franchise term, conditions for renewal, and obligations upon termination. This indicates that the franchise and related agreements are integral parts of the franchising relationship and are referenced within the FDD.
The Franchise Agreement has specific sections governing key aspects of the franchise, including the length of the initial term, which is 10 years from the agreement date, and the conditions for renewal, allowing for a successor franchise agreement for an additional 5-year term if the franchisee is in good standing. The Multi-Unit Development Agreement (MUDA) is also referenced, particularly in the context of development schedules and termination conditions. If a franchisee fails to meet the development schedule outlined in either the Franchise Agreement or the MUDA, the agreements can be automatically terminated, although Crave Cookies retains the right to grant an extension.
Furthermore, the FDD details provisions related to dispute resolution, choice of forum, and choice of law, all of which are specified within the Franchise Agreement and, where applicable, the MUDA. For instance, litigation will take place at Crave Cookies's headquarters in Holladay, Utah, and Utah law governs the agreements, subject to applicable state laws. The integration/merger clause emphasizes that only the terms of the agreement are binding, potentially limiting the enforceability of representations or promises made outside of the disclosure document and franchise agreement.
Finally, the FDD also addresses the transfer of a Crave Cookies franchise, noting that if a franchisee wishes to transfer their business, Crave Cookies has a right of first refusal. If the transfer is approved, the buyer must meet certain standards, including signing the then-current franchise agreement and related documents. This highlights the importance of the franchise agreement in governing the relationship between Crave Cookies and its franchisees, as well as any potential new owners.