factual

Who is solely responsible for the terms and conditions of employment of all personnel at a Crave Cookies franchise?

Crave_Cookies Franchise · 2025 FDD

Answer from 2025 FDD Document

  • (e) Sole Responsibility.

Franchisee is solely responsible for the terms and conditions of employment of all of its personnel, including recruiting, hiring, training, scheduling, supervising, compensation, and termination.

Franchisee is solely responsible for all actions of its personnel.

Franchisee and Crave Cookies Franchising are not joint employers, and no employee of Franchisee will be an agent or employee of Crave Cookies Franchising.

Within seven days of Crave Cookies Franchising's request, Franchisee and each of its employees will sign an acknowledgment form stating that Franchisee alone (and not Crave Cookies Franchising) is the employee's sole employer.

Franchisee will use its legal name on all documents with its employees and independent contractors, including, but not limited to, employment applications, time cards, pay checks, and employment and independent contractor agreements, and Franchisee will not use the Marks on any of these documents.

Source: Item 22 — CONTRACTS (FDD page 47)

What This Means (2025 FDD)

According to Crave Cookies's 2025 Franchise Disclosure Document, the franchisee is solely responsible for the terms and conditions of employment of all personnel. This encompasses all aspects of employment, including recruiting, hiring, training, scheduling, supervising, compensation, and termination. The franchisee is also solely responsible for all actions of their personnel.

This means that as a Crave Cookies franchisee, you have complete control over your employees but also bear full responsibility for them. You make all decisions related to staffing, wages, and any disciplinary actions. Crave Cookies Franchising does not act as a joint employer and has no responsibility for your employees.

The FDD also states that the franchisee and Crave Cookies Franchising are not joint employers, and no employee of the franchisee will be considered an agent or employee of Crave Cookies Franchising. To ensure clarity, the franchisee and each employee will sign an acknowledgment form stating that the franchisee alone is the employer. The franchisee must also use its legal name on all employment-related documents and not use the Crave Cookies trademarks on these documents.

This arrangement is typical in franchising, where franchisees operate as independent business owners. While Crave Cookies may set minimum qualifications for certain employee categories and may require training programs for the franchisee's staff, the day-to-day management and employment decisions rest solely with the franchisee. This allows for flexibility in managing the workforce but also requires the franchisee to stay informed about labor laws and best practices in employment.

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.