If Cream modifies its Marks or System, what is the Cream franchisee's obligation regarding modifications and updates?

According to Cream's 2025 Franchise Disclosure Document, if Cream decides to modify, substitute, add, or discontinue any of its Marks or the System, franchisees must implement the changes and updates that Cream specifies. Franchisees must also comply with all directions given by Cream regarding the use of the Marks and the System in connection with their shop. This must be done within a reasonable time frame after receiving notice from Cream.

However, Cream is not obligated to reimburse franchisees for any costs or expenses associated with making these changes. This includes costs related to promoting a modified or substitute Mark, or any loss of revenue resulting from modifications to the Marks or System. This means that franchisees bear the financial burden of adapting to changes implemented by Cream.

This requirement is fairly standard in franchising, as franchisors need the flexibility to update their brand and systems to stay competitive. However, the fact that Cream franchisees must bear the costs of these changes is a point to consider. Prospective franchisees should factor in potential future costs for updates and modifications when evaluating the Cream franchise opportunity. It would be prudent to inquire about the typical frequency and scope of such changes to better estimate these potential expenses.