Can a Crave Cookies franchisee assign or sublet the lease to the franchisor?
Crave_Cookies Franchise · 2025 FDDAnswer from 2025 FDD Document
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- Assignment and Subletting. Notwithstanding any provision of the Lease to the contrary, Tenant shall have the right to assign or sublet the Lease to Franchisor, provided that no such assignment or sublease shall relieve Tenant or any guarantor of liability under the Lease. If Franchisor becomes the lessee of the Leased Premises, then Franchisor shall have the right to assign or sublease its lease to a franchisee of the Crave Cookies brand. Any provision of the Lease which limits Tenant's right to own or operate other Crave Cookies outlets in proximity to the Leased Premises shall not apply to Franchisor.
Source: Item 23 — RECEIPTS (FDD pages 47–194)
What This Means (2025 FDD)
According to Crave Cookies's 2025 Franchise Disclosure Document, a franchisee has the right to assign or sublet their lease to Crave Cookies. However, this assignment or sublease does not relieve the franchisee or any guarantor of their liability under the lease. This means that even if the lease is assigned or sublet to Crave Cookies, the original franchisee remains responsible for fulfilling the lease obligations.
If Crave Cookies becomes the lessee of the leased premises, they have the right to assign or sublease the lease to another Crave Cookies franchisee. This provides Crave Cookies with flexibility in managing the location and ensuring continued operation of a franchise at that site.
Furthermore, any provision in the lease that limits the franchisee's right to own or operate other Crave Cookies outlets in proximity to the leased premises does not apply to Crave Cookies itself. This clause ensures that Crave Cookies is not restricted in its ability to develop other locations, even if the original franchisee's lease contained such limitations. This is documented in the Franchisor Rider to Lease Agreement.