If Cream recommends or approves a site, does this constitute a warranty of its suitability?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
If we recommend, approve, or give you information regarding a site for the Premises, that is not a representation or warranty of any kind, express or implied, of its suitability for a Jeni's Ice Creams Scoop Shop or any other purpose. Our recommendation and/or approval of any site indicates only that the site meets our then-current minimum criteria which have been established for our own purposes and are not intended to be relied on by you as an indicator of success. You agree that you are not relying on our site approval for your benefit. You further acknowledge that you have been advised to conduct your own independent investigation before selecting any site for our approval. We are not responsible if the site you select for your Shop, including a site we recommend or approve, fails to meet your expectations.
Source: Item 23 — RECEIPTS (FDD pages 61–192)
What This Means (2025 FDD)
According to Cream's 2025 Franchise Disclosure Document, any recommendation, approval, or information provided by Cream regarding a site for the premises does not constitute a warranty of any kind, either express or implied, regarding its suitability for a Jeni's Ice Creams Scoop Shop or any other purpose. Cream's approval of a site merely indicates that it meets the company's minimum criteria, which are established for their own purposes and should not be relied upon by the franchisee as an indicator of success.
This means that even if Cream suggests or approves a location, the franchisee is ultimately responsible for determining if the site is appropriate for their Cream franchise. Cream explicitly advises franchisees to conduct their own independent investigations before selecting a site for approval. This includes assessing factors such as local market conditions, customer demographics, and competition.
Cream is not liable if the chosen site, even one that they recommended or approved, fails to meet the franchisee's expectations. The franchisee bears the risk of the site's performance and suitability. This is a common practice in franchising, where the franchisee typically has the responsibility for site selection and bears the risk associated with the location's success.