factual

For a second offense moderate infraction, what penalties might a Crave Cookies franchisee face?

Crave_Cookies Franchise · 2025 FDD

Answer from 2025 FDD Document

b. Second Offense:

  • i. Mild Infraction: Official warning and mandatory review meeting.
  • ii. Moderate Infraction: Fine or suspension of certain privileges; mandatory training (online, virtual, or in-person) may be required.
  • iii. Severe Infraction: Immediate fine and mandatory meeting with corporate within 24 hours.

Source: Item 23 — RECEIPTS (FDD pages 47–194)

What This Means (2025 FDD)

According to Crave Cookies's 2025 Franchise Disclosure Document, a franchisee who commits a second moderate infraction may face a fine or suspension of certain privileges. Additionally, Crave Cookies may require the franchisee to undergo mandatory training, which could be online, virtual, or in-person.

This escalation of penalties is part of Crave Cookies's compliance and violation protocols. The franchisor will provide a formal written notice to the franchisee detailing the infraction, the date and time it was observed, and instructions on how to correct it. The timeframe for correction varies based on the severity of the infraction, with moderate infractions typically requiring correction within 24 hours to 7 days.

Crave Cookies will follow up with the franchisee to verify if the issue has been rectified, which may include an inspection or review of submitted evidence. This follow-up ensures that franchisees address issues promptly and maintain brand standards. Franchisees should be aware that repeated infractions, even if moderate, can lead to more severe penalties, including fines, mandatory audits, and potentially the termination of the franchise agreement.

For example, specific moderate infractions like "Unapproved Packaging Utilization," "Failure to Submit Weekly Prep Pictures," "Required Training Not Completed," and "Editing Existing Menu" each carry their own set of penalties for second offenses, including fines and restrictions. Franchisees must adhere to the brand's standards and operational guidelines to avoid these penalties and maintain a successful business relationship with Crave Cookies.

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.