In the Multi-Unit Development Agreement for Crave Cookies, who are the two parties involved?

According to Crave Cookies' 2025 Franchise Disclosure Document, the Multi-Unit Development Agreement (MUDA) is made between Crave Cookies Franchising, LLC, identified as "Crave Cookies Franchising", and the franchisee, identified as "Franchisee." This agreement outlines the terms and conditions under which a franchisee can develop multiple Crave Cookies businesses.

This agreement is significant because it sets the stage for the franchisee's expansion plans with Crave Cookies. It establishes the legal framework for developing multiple franchise locations, which includes details about development schedules, fees, and the obligations of both parties. The MUDA works in conjunction with the standard Franchise Agreement, as the franchisee and Crave Cookies Franchising also enter into a Franchise Agreement for the initial Crave Cookies business on the same day they execute the MUDA.

It's important to note that while the MUDA grants the franchisee the opportunity to develop multiple locations, each location requires a separate franchise agreement. The franchisee's right to develop additional Crave Cookies franchises after the first store is contingent upon factors such as sufficient financial capacity, organizational capabilities, and compliance with brand standards at existing locations. Crave Cookies Franchising also retains the right to extend opening deadlines, providing some flexibility in the development schedule.

Furthermore, the MUDA includes provisions for termination under certain conditions, such as failure to meet the development schedule or default under any franchise agreement. However, the franchisee's commitment is considered an option, limiting liability for lost future revenues or profits from unopened locations if Crave Cookies Franchising terminates the agreement due to the franchisee's default. The franchisee also has the option to terminate the MUDA at any time. Understanding these conditions is crucial for any prospective franchisee considering a multi-unit development strategy with Crave Cookies.