What should a Crave Cookies franchisee do if a product recall is issued?
Crave_Cookies Franchise · 2025 FDDAnswer from 2025 FDD Document
- 8.6 Product Recalls. If Crave Cookies Franchising or any vendor, supplier, or manufacturer of an item used or sold in Franchisee's Business issues a recall of such item or otherwise notifies Franchisee that such item is defective or dangerous, Franchisee shall immediately cease using or selling such item, and Franchisee shall at its own expense comply with all instructions from Crave Cookies Franchising or the vendor, supplier, or manufacturer of such item with respect to such item, including without limitation the recall, repair, and/or replacement of such item.
Source: Item 22 — CONTRACTS (FDD page 47)
What This Means (2025 FDD)
According to Crave Cookies's 2025 Franchise Disclosure Document, if Crave Cookies Franchising, a vendor, supplier, or manufacturer issues a recall notice for an item used or sold in the franchisee's business, the franchisee must immediately stop using or selling the item.
The franchisee is also required to comply with all instructions from Crave Cookies Franchising or the item's vendor, supplier, or manufacturer. This compliance includes managing the recall, repairing the item, and/or replacing the item, all at the franchisee's own expense.
This stipulation places the onus on the franchisee to bear the financial burden of product recalls, highlighting a potential risk for franchisees. It is important for prospective franchisees to factor in potential recall costs when assessing the financial viability of the franchise. Franchisees should also maintain open communication with Crave Cookies Franchising and its approved vendors to stay informed about any potential product issues and recall procedures.