What is the effective date of a waiver of obligation from Cream?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
We and you may, by written instrument, unilaterally waive or reduce any obligation of or restriction upon the other under this Agreement, effective upon delivery of written notice to the other or another effective date stated in the notice of waiver. Any waiver granted will be without prejudice to any other rights we or you have, will be subject to continuing review, and may be revoked at any time and for any reason effective upon delivery of 10 days' prior written notice.
Source: Item 23 — RECEIPTS (FDD pages 61–192)
What This Means (2025 FDD)
According to Cream's 2025 Franchise Disclosure Document, a waiver of obligation or restriction can be implemented either upon the delivery of written notice or on another effective date specifically outlined in the waiver notice. This means that Cream and the franchisee can agree to a future date for the waiver to take effect, rather than it being immediate upon notification.
Cream retains the right to review the waiver continuously and can revoke it at any time, provided they give 10 days' prior written notice to the franchisee. This allows Cream to adjust its position based on changing circumstances or if the franchisee's performance or compliance becomes an issue.
This clause ensures that any waiver is not permanent and does not set a precedent. Cream's ability to revoke a waiver offers flexibility in managing the franchise relationship and maintaining brand standards. The franchisee should understand that any granted waiver is subject to change and should not be viewed as a permanent alteration of the franchise agreement.