factual

Is the franchisee obligated to ensure their general manager signs Crave Cookies Franchising's confidentiality and non-compete agreement if requested?

Crave_Cookies Franchise · 2025 FDD

Answer from 2025 FDD Document

  • 13.3 General Manager and Key Employees. If requested by Crave Cookies Franchising, Franchisee will cause its general manager and other key employees to sign Crave Cookies Franchising's then-current form of confidentiality and non-compete agreement (unless prohibited by applicable law).

Source: Item 22 — CONTRACTS (FDD page 47)

What This Means (2025 FDD)

According to Crave Cookies' 2025 Franchise Disclosure Document, franchisees are obligated to ensure their general manager and other key employees sign Crave Cookies Franchising's confidentiality and non-compete agreement if requested by the franchisor, unless prohibited by applicable law. This requirement is outlined in Article 13.3 of the franchise agreement.

This obligation means that a Crave Cookies franchisee must take active steps to secure these agreements from their general manager and key employees when Crave Cookies Franchising requests it. This could involve explaining the terms of the agreement to the employee, ensuring they understand their obligations, and facilitating the signing process. The franchisee's responsibility extends to ensuring compliance with this requirement, subject to any legal restrictions.

The inclusion of the phrase "unless prohibited by applicable law" suggests that there might be situations where local or state laws prevent the enforcement of such agreements. Franchisees should be aware of the laws in their jurisdiction and consult with legal counsel if they have any concerns about the enforceability of these agreements. This clause protects the franchisee from being forced to violate any laws.

Overall, this provision highlights the importance Crave Cookies places on protecting its confidential information and preventing competition. Franchisees need to be prepared to comply with this requirement to maintain a good standing with the franchisor and protect the Crave Cookies system.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.