Besides Cream's right to modify the System Standards, how can the Cream franchise agreement be modified?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
When this Agreement expires, you may renew your franchise to operate your Shop for two successive terms of 5 years each, if you meet the following conditions:
- (7) you and your owners sign the franchise agreement and all other ancillary documents and guaranties we then use to grant franchises for Jeni's Ice Creams Scoop Shops (modified as necessary to reflect the fact that it is for a renewal franchise), which may contain provisions that differ materially from those contained in this Agreement, including changes to your Royalty, Brand Fund Contribution, and Protected Territory;
- (8) you and your owners agree to sign, in a form satisfactory to us, a general release of any and all claims (except for claims which cannot be released or waived pursuant to an applicable franchise statute) against us and our owners, affiliates, officers, directors, employees, agents, successors, and assigns; and
You acknowledge that we are not required to offer you a renewal franchise if you and/or your owners fail to meet the conditions set forth in this Section, regardless of whether we had or chose to exercise the right to terminate this Agreement during the Term under Section 14.C.
Source: Item 23 — RECEIPTS (FDD pages 61–192)
What This Means (2025 FDD)
According to the 2025 FDD, the Cream franchise agreement can be modified upon renewal. To renew the franchise for two successive terms of 5 years each, the franchisee must meet several conditions. One of these conditions is signing the franchise agreement and all ancillary documents that Cream uses to grant franchises for Jeni's Ice Creams Scoop Shops. These documents may be modified as necessary to reflect that it is for a renewal franchise.
These modifications may contain provisions that differ materially from those contained in the original agreement. This includes potential changes to the royalty fees, brand fund contributions, and the protected territory granted to the franchisee. The franchisee must also agree to remodel or expand the shop to comply with the System Standards applicable to new Jeni's Ice Creams Scoop Shops at the time of renewal.
Furthermore, as part of the renewal process, the franchisee must sign a general release of any and all claims against Cream and its affiliates. This release covers any claims except those that cannot be released or waived under applicable franchise statutes. Cream is not required to offer a renewal franchise if the franchisee fails to meet these conditions, regardless of whether Cream chose to terminate the agreement during the original term.