What is the interplay between the Cream franchisor's right to develop system standards (Item 8) and the franchisee's obligations to maintain those standards (Item 9)?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
pecifications for Products, Services and Suppliers**
We have developed and may continue to develop System Standards for types, models, and brands of required fixtures, furniture, equipment, components of the Computer System, furnishings, signs, and other operating assets, inventory, products, materials, and services used by Jeni's Ice Creams Scoop Shops. We may require you to purchase and use only the products and services meeting our System Standards. We may also require you to purchase the products and services only from suppliers that we have designated or approved. We or our affiliates may be an exclusive or approved supplier of certain products and services or otherwise be a party to these transactions.
Our standards and specifications for products and services and criteria for suppliers are not currently issued to franchisees or approved suppliers. We may condition our approval of a product or supplier on requirements relating to product quality, prices, consistency, reliability, financial capability, labor relations, customer relations, frequency of delivery, concentration of purchases, standards of service, or other criteria. If you would like us to consider approving a vendor that is not already approved by us, you must submit your request in writing before purchasing any items or services from such vendor. We will make all determinations about whether to approve an alternative vendor based on our thencurrent criteria, which may change. Currently, we estimate that we will provide notice of our decision to approve or disapprove an alternative supplier within 30 days of receiving the request and all
necessary materials for evaluation. We may also refuse to consider and/or approve any alternative vendor for any reason whatsoever. If you ask us to evaluate any proposed alternative suppliers, you must reimburse all of our costs and expenses for such evaluation. We may revoke our approval of any vendor at any time by providing written notice to you. You may not contract with any alternative vendors without receiving our prior approval.
You must purchase your entire initial and ongoing inventory of ice cream products ("Proprietary Products") from Parent. You must also purchase: (i) certain toppings, branded merchandise, gift cards, uniforms, and décor and decals from Parent; (ii) architecture services, permit expeditor services, graphics and signage, insurance, certain software solutions (including software for CRM, accounting, reputation management, in-Shop chat, point-of sale, online delivery, and digital marketing), the Computer System, certain inventory (including specialty foods), and certain other supplies (including aprons) from our exclusive designated suppliers;
What This Means (2025 FDD)
According to Cream's 2025 Franchise Disclosure Document, Cream retains the right to develop and modify system standards, while the franchisee is obligated to adhere to these standards in the operation of their shop. Cream has developed and may continue to develop System Standards for types, models, and brands of required fixtures, furniture, equipment, components of the Computer System, furnishings, signs, and other operating assets, inventory, products, materials, and services used by Jeni's Ice Creams Scoop Shops. Cream may require franchisees to purchase and use only products and services meeting their System Standards and may also require them to purchase these from designated or approved suppliers.
Cream's standards and specifications for products and services and criteria for suppliers are not currently issued to franchisees or approved suppliers. Cream may condition their approval of a product or supplier on requirements relating to product quality, prices, consistency, reliability, financial capability, labor relations, customer relations, frequency of delivery, concentration of purchases, standards of service, or other criteria. If a franchisee would like Cream to consider approving a vendor that is not already approved, they must submit their request in writing before purchasing any items or services from such vendor. Cream will make all determinations about whether to approve an alternative vendor based on their then-current criteria, which may change.
Cream estimates that they will provide notice of their decision to approve or disapprove an alternative supplier within 30 days of receiving the request and all necessary materials for evaluation. Cream may also refuse to consider and/or approve any alternative vendor for any reason whatsoever. If a franchisee asks Cream to evaluate any proposed alternative suppliers, they must reimburse all of Cream's costs and expenses for such evaluation. Cream may revoke their approval of any vendor at any time by providing written notice to the franchisee, and the franchisee may not contract with any alternative vendors without receiving Cream's prior approval.
Cream retains the right to establish and periodically modify System Standards, but the franchisee retains the sole responsibility for the day-to-day management and operation of their Shop and the implementation and maintenance of System Standards at their Shop. System Standards may regulate any aspect of the operation and maintenance of the Shop.