If a Cream franchisee operating as an individual dies or becomes disabled, how long does their representative have to appoint a Shopkeeper?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
In the event of the death or disability of you (if you are conducting business as an individual) or your Principal Owner (if you are conducting business as an Entity), if your Shop is not otherwise being managed by a Shopkeeper, you or your Principal Owner's (as applicable) person's executor, administrator, conservator, guardian, or other personal representative must within a reasonable time, not to exceed 15 days from the date of death or disability, appoint a Shopkeeper who we approve and who has completed our then-current Initial Training Program to supervise the day-to-day operations of your Shop. If your Shop is not being managed properly at any time from and after the death or disability of you (if you are conducting business as an individual) or your Principal Owner (if you are conducting business as an Entity), in our sole judgment, we may, but need not, operate the Shop on an interim basis (or appoint a third party to operate the Shop on an interim basis) in accordance with Section 14.D.
Source: Item 23 — RECEIPTS (FDD pages 61–192)
What This Means (2025 FDD)
According to Cream's 2025 Franchise Disclosure Document, if a franchisee operating as an individual dies or becomes disabled, their executor, administrator, conservator, guardian, or other personal representative has a limited time to appoint a Shopkeeper. Specifically, the representative must appoint a Shopkeeper within a reasonable time, but not exceeding 15 days from the date of death or disability. This Shopkeeper must be approved by Cream and must have completed Cream's then-current Initial Training Program to supervise the day-to-day operations of the Shop.
This requirement ensures that the Cream franchise continues to operate under approved management even in unforeseen circumstances. If the representative fails to appoint a Shopkeeper within the specified timeframe or if the shop is not being managed properly, Cream has the option, but not the obligation, to step in and operate the shop on an interim basis or appoint a third party to do so.
Cream's ability to manage the shop temporarily provides a safety net, but the financial responsibility remains with the franchisee's estate unless Cream expressly assumes those obligations in connection with purchasing the Shop. The representative should act quickly to find a suitable Shopkeeper to avoid potential intervention by Cream and to maintain the value of the franchise during the transition period.