For a Cream franchise, who has the sole responsibility to develop Construction Plans and negotiate and execute the Lease?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
You acknowledge and agree that you have the sole responsibility to develop your Construction Plans and negotiate and execute your Lease. Any review or approval by us of your Construction Plans or Lease is for our sole benefit and indicates only that such Construction Plans and Lease satisfy our minimum requirements. You agree that you are not relying on our review and approval of your Construction Plans or Lease for your benefit. You further acknowledge that you have been advised to obtain the advice of your own professional advisors before you sign a Lease or any other legal documents, including permitting or licensing applications.
Source: Item 23 — RECEIPTS (FDD pages 61–192)
What This Means (2025 FDD)
According to the 2025 FDD, Cream franchisees have the sole responsibility for developing Construction Plans and negotiating and executing the Lease for their franchise location. While Cream must approve the site, Construction Plans, and Lease, the franchisee is ultimately responsible for these tasks. Cream may require the franchisee to use approved or designated suppliers to develop or review the Construction Plans.
Cream's approval of the Construction Plans and Lease is solely for its own benefit, ensuring that the plans and lease meet the minimum requirements set by Cream. The franchisee is advised to seek advice from their own professional advisors before signing any legal documents, including the Lease and permitting or licensing applications. This indicates that Cream's review is not a guarantee of the suitability or financial viability of the location for the franchisee's business.
This arrangement places significant responsibility on the franchisee to manage the development and legal aspects of securing their location. It is crucial for prospective Cream franchisees to carefully consider the implications of this responsibility and to engage qualified professionals to assist them in developing Construction Plans and negotiating the Lease. Franchisees should not rely solely on Cream's approval, but rather conduct their own due diligence to ensure the location is suitable for their business needs.