For Crave Cookies franchisees, what is the penalty for a first offense infraction?

According to Crave Cookies' 2025 Franchise Disclosure Document, the penalty for a first offense is either a verbal warning or a formal written warning. This warning will be documented in the franchisee's file. The specific type of warning given depends on the severity of the infraction.

Crave Cookies Franchising, LLC will follow up with the franchisee within a specified timeframe to verify if the issue has been corrected. This follow-up may include an inspection or a review of submitted evidence, such as photos or reports. If the infraction is not corrected within the given timeframe, the penalties will escalate based on the severity tier of the infraction.

For subsequent offenses, the penalties become more severe. For example, a third severe offense could result in a $5,000 fine and potential termination of the franchise agreement. Crave Cookies also thoroughly documents every step of the process, including warnings, communications, and the franchisee's responses, to ensure a clear record of all interactions and actions taken.