Under what condition are transfer fees collectable from a Crave Cookies franchisee in Washington?

According to the 2025 Crave Cookies FDD, transfer fees are collectable from a franchisee in Washington only to the extent that they accurately represent Crave Cookies' reasonable estimated or actual costs incurred during the transfer process. This means that Crave Cookies cannot charge arbitrary or inflated transfer fees; the fees must be directly tied to the expenses Crave Cookies incurs.

This provision protects franchisees by ensuring they are not overcharged for transfer-related services. It aligns with Washington state law, which aims to protect franchisees from unfair or deceptive practices. The FDD explicitly states that Washington state laws and regulations supersede any conflicting terms in the franchise agreement, further reinforcing this protection.

Prospective Crave Cookies franchisees in Washington should carefully review the transfer fee structure and ensure that any fees charged are reasonable and justified by actual costs. They should also be aware of their rights under the Washington Franchise Investment Protection Act, which provides additional safeguards against unreasonable or unfair practices by the franchisor.