What costs am I responsible for if Cream conducts re-inspections of my Cream shop?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
If we determine after any inspection of your Shop that one or more failures of System Standards exist, we may re-inspect your Shop one or more times thereafter to evaluate whether such failures have been cured and/or conduct any other follow-up review that we deem is necessary. You must reimburse all of our costs associated with any failed inspection and all re-inspections and follow-up visits, including supplier fees, travel expenses, room and board, and compensation of our representatives and designees. These remedies are in addition to our other remedies and rights under this Agreement and applicable law if you violate any System Standards.
Source: Item 23 — RECEIPTS (FDD pages 61–192)
What This Means (2025 FDD)
According to Cream's 2025 Franchise Disclosure Document, if an inspection reveals failures of System Standards, Cream may conduct re-inspections. As the franchisee, you are responsible for reimbursing Cream for all costs associated with the failed inspection, re-inspections, and any follow-up visits. These costs include supplier fees, travel expenses, room and board, and compensation for Cream's representatives and designees.
This means that if your Cream shop does not meet the required standards during an inspection, you will not only need to correct the deficiencies but also cover the expenses Cream incurs to verify that you have made the necessary corrections. These expenses can potentially include travel and lodging for Cream personnel, as well as their time spent on the re-inspection.
It's important for prospective Cream franchisees to understand that maintaining System Standards is crucial not only for the brand's reputation but also to avoid incurring additional costs related to re-inspections. Budgeting for regular maintenance and adherence to Cream's standards can help prevent these expenses. Also, the remedies described here are in addition to Cream's other remedies and rights under the Franchise Agreement and applicable law if you violate any System Standards.