What happens to items containing any Marks upon termination of the Crave Cookies franchise agreement?
Crave_Cookies Franchise · 2025 FDDAnswer from 2025 FDD Document
likely to materially and unfavorably affect the Crave Cookies brand;
- (xiv) Franchisee fails to meet the health inspection standards described in Section 7.3(e) two or more times in any 36-month period; or
- (xv) Franchisee fails to achieve a passing score on an inspection conducted by Crave Cookies Franchising, LLC two or more times in any 36-month period.
- 14.3 Effect of Termination. Upon termination or expiration of this Agreement, all obligations that by their terms or by reasonable implication survive termination, including those pertaining to non-competition, confidentiality, indemnity, and dispute resolution, will remain in effect, and Franchisee must immediately:
- (i) pay all amounts owed to Crave Cookies Franchising based on the operation of the Business through the effective date of termination or exp
Source: Item 22 — CONTRACTS (FDD page 47)
What This Means (2025 FDD)
According to Crave Cookies's 2025 Franchise Disclosure Document, upon termination or expiration of the franchise agreement, the franchisee must return to Crave Cookies all items containing any Marks, copyrights, and other proprietary items. The franchisee is also required to delete all Confidential Information and proprietary materials from electronic devices. This obligation is part of the broader requirements that survive the termination of the agreement, which also include those pertaining to non-competition, confidentiality, indemnity, and dispute resolution.
In practical terms, this means that a franchisee who leaves the Crave Cookies system must relinquish all materials bearing the Crave Cookies trademarks, logos, and copyrighted content. This includes physical items like menus, packaging, and promotional materials, as well as digital assets stored on computers or other electronic devices. The purpose is to ensure that the franchisee does not continue to benefit from or exploit the Crave Cookies brand and intellectual property after the franchise relationship ends.
This requirement is standard practice in franchising to protect the brand's integrity and prevent confusion in the marketplace. Franchisees should be aware of this obligation and plan accordingly when exiting the Crave Cookies system, ensuring they have a process in place to identify and return all relevant materials and delete digital information to comply with the terms of the franchise agreement.