What obligations do Crave Cookies Franchising and the franchisee have during mediation or litigation?

According to Crave Cookies's 2025 Franchise Disclosure Document, both Crave Cookies Franchising and the franchisee are obligated to continue performing their duties under the franchise agreement during any mediation or litigation, unless the agreement has been terminated. This means that regardless of any ongoing dispute, the franchisee must continue to operate the business according to the franchise agreement, and Crave Cookies must continue to provide support and fulfill its obligations as well.

This requirement ensures business continuity and maintains the integrity of the Crave Cookies brand during dispute resolution. It prevents either party from using the dispute as an excuse to suspend their responsibilities. For a franchisee, this means continuing to pay royalties, adhere to brand standards, and operate the business diligently. For Crave Cookies, it means providing ongoing support, upholding supply agreements, and fulfilling other contractual obligations.

This clause is fairly standard in franchise agreements, as it aims to prevent disruption and ensure that both parties remain committed to the franchise relationship even when disagreements arise. However, franchisees should be aware that they must maintain their operational and financial obligations throughout any legal process, which could add additional strain during a dispute. Franchisees should seek legal counsel to fully understand their rights and obligations should a dispute arise with Crave Cookies Franchising.