factual

Can Crave Cookies require franchisees to purchase or lease Inputs from specific sources?

Crave_Cookies Franchise · 2025 FDD

Answer from 2025 FDD Document

  • 8.1 Generally. Franchisee shall acquire all Inputs required by Crave Cookies Franchising from time to time in accordance with System Standards. Crave Cookies Franchising may require Franchisee to purchase or lease any Inputs from Crave Cookies Franchising, Crave Cookies Franchising's designee, Required Vendors, Approved Vendors, and/or under Crave Cookies Franchising's specifications. Crave Cookies Franchising may change any such requirement or change the status of any vendor. To make such requirement or change effective, Crave Cookies Franchising shall issue the appropriate System Standards.
  • 8.2 Alternate Vendor Approval. If Crave Cookies Franchising requires Franchisee to purchase a particular Input only from an Approved Vendor or Required Vendor, and Franchisee desires to purchase the Input from another vendor, then Franchisee must submit a written request for approval and any information, specifications and/or samples requested by Crave Cookies Franchising. Crave Cookies Franchising may condition its approval on such criteria as Crave Cookies Franchising deems appropriate, which may include evaluations of the vendor's capacity, quality, financial stability, reputation, and reliability; inspections; product testing, and performance reviews. Crave Cookies Franchising will provide Franchisee with written notification of the approval or disapproval of any proposed new vendor within 30 days after receipt of Franchisee's request.
  • 8.3 Alternate Input Approval. If Crave Cookies Franchising requires Franchisee to purchase a particular Input, and Franchisee desires to purchase an alternate to the Input, then Franchisee must submit a written request for approval and any information, specifications and/or samples requested by Crave Cookies Franchising. Crave Cookies Franchising will provide Franchisee with written notification of the approval or disapproval of any proposed alternate Input within 30 days after receipt of Franchisee's request.

Source: Item 22 — CONTRACTS (FDD page 47)

What This Means (2025 FDD)

According to Crave Cookies's 2025 Franchise Disclosure Document, Crave Cookies has the right to mandate that franchisees acquire all required inputs from specific sources. These sources may include Crave Cookies Franchising itself, its designee, required vendors, approved vendors, or according to Crave Cookies Franchising's specific requirements. Crave Cookies retains the authority to modify these requirements or change the status of any vendor by issuing updated System Standards.

If a franchisee wishes to purchase a particular input from a vendor not already approved or required by Crave Cookies, they must submit a written request for approval. This request must include any information, specifications, or samples that Crave Cookies Franchising requests. Crave Cookies Franchising may base its approval on criteria such as the vendor's capacity, quality, financial stability, reputation, and reliability. They may also conduct inspections, product testing, and performance reviews. Crave Cookies Franchising will provide written notification of approval or disapproval within 30 days of receiving the franchisee's request.

Similarly, if a franchisee wants to purchase an alternate input to one that Crave Cookies requires, they must submit a written request for approval, including any necessary information, specifications, and samples. Crave Cookies Franchising will then provide written notification of the approval or disapproval of the proposed alternate input within 30 days of receiving the request. This system allows Crave Cookies to maintain quality and consistency across all franchise locations while also providing a mechanism for franchisees to suggest alternative vendors or inputs.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.