What does Crave Cookies Franchising require the franchisee and each of its employees to sign?
Crave_Cookies Franchise · 2025 FDDAnswer from 2025 FDD Document
Within seven days of Crave Cookies Franchising's request, Franchisee and each of its employees will sign an acknowledgment form stating that Franchisee alone (and not Crave Cookies Franchising) is the employee's sole employer.
Franchisee will use its legal name on all documents with its employees and independent contractors, including, but not limited to, employment applications, time cards, pay checks, and employment and independent contractor agreements, and Franchisee will not use the Marks on any of these documents.
Source: Item 22 — CONTRACTS (FDD page 47)
What This Means (2025 FDD)
According to Crave Cookies' 2025 Franchise Disclosure Document, the franchisee and each of its employees must sign an acknowledgment form. This form confirms that the franchisee alone, and not Crave Cookies Franchising, is the employee's sole employer. This requirement is in place to clarify the employment relationship and ensure that employees understand they are employed solely by the franchisee.
This acknowledgment must be signed within seven days of Crave Cookies' request. Furthermore, the franchisee is obligated to use its legal name on all employment-related documents, including applications, time cards, paychecks, and employment agreements. The franchisee is prohibited from using Crave Cookies' trademarks or branding on these documents.
This requirement is a fairly standard practice in franchising, designed to protect the franchisor from potential liability related to the franchisee's employees. By having employees acknowledge that the franchisee is their sole employer, Crave Cookies aims to reinforce the independent business relationship between the franchisor and the franchisee. This helps to avoid any claims of joint employer status, which could expose Crave Cookies to legal and financial responsibilities for the franchisee's employees.