Does Crave Cookies Franchising need Franchisee consent to undergo a change in ownership?
Crave_Cookies Franchise · 2025 FDDAnswer from 2025 FDD Document
- 15.1 By Crave Cookies Franchising. Crave Cookies Franchising may transfer or assign this Agreement, or any of its rights or obligations under this Agreement, to any person or entity, and Crave Cookies Franchising may undergo a change in ownership and/or control, without the consent of Franchisee.
Source: Item 22 — CONTRACTS (FDD page 47)
What This Means (2025 FDD)
According to Crave Cookies's 2025 Franchise Disclosure Document, Crave Cookies Franchising can undergo a change in ownership without obtaining consent from its franchisees. Specifically, Article 15.1 states that Crave Cookies Franchising can transfer the agreement or undergo changes in ownership without franchisee consent.
This clause means that a prospective Crave Cookies franchisee has no say in who owns or controls the franchise company. The franchisee cannot prevent Crave Cookies Franchising from selling the company to a private equity firm, a competitor, or any other entity.
This lack of control is a common practice in franchising, where the franchisor retains significant authority over the brand and system. However, it is important for franchisees to understand that the future direction and management of Crave Cookies could change without their input or approval if the company is sold or transferred.