What legal charges against the Crave Cookies franchisee or owner can lead to termination?

According to Crave Cookies' 2025 Franchise Disclosure Document, certain legal charges against the franchisee or owner can lead to the termination of the franchise agreement. Specifically, if the franchisee or any owner is charged with, pleads guilty or no-contest to, or is convicted of a felony, Crave Cookies Franchising has grounds for termination.

Additionally, the franchise agreement can be terminated if the franchisee or any owner is accused by any governmental authority or third party of any act, or commits any act or series of acts, that Crave Cookies Franchising believes is reasonably likely to materially and unfavorably affect the Crave Cookies brand. This clause provides Crave Cookies with broad discretion to terminate the agreement based on actions that could harm their brand's reputation.

These stipulations are important for prospective franchisees to consider, as they highlight the potential for termination based on legal issues involving the franchisee or owner, even if those issues are not directly related to the operation of the Crave Cookies business. Franchisees should be aware of these terms and ensure they and their owners maintain a clean legal record and avoid actions that could negatively impact the brand to avoid potential termination of their franchise agreement.