What is the scope of the Franchisor's right to enter the Cream franchise premises?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
Landlord acknowledges and agrees that Franchisor or its designee may enter the Premises for all purposes permitted under the terms of the Franchise Agreement, including to inspect the Premises and the Jeni's Ice Creams Scoop Shop's operations, to manage the Tenant's business on Tenant's behalf under certain circumstances (e.g., Tenant's failure to timely cure its default of the Franchise Agreement, and while Franchisor evaluates its right to purchase the location), or to remove any trade fixtures or signage upon termination or expiration of the Franchise Agreement.
If Franchisor enters the Premises for any such purposes, it will do so without assuming any liability under the Lease.
Source: Item 23 — RECEIPTS (FDD pages 61–192)
What This Means (2025 FDD)
According to the 2025 FDD, Cream, as the Franchisor, has specific rights to enter the franchise premises under certain conditions. The landlord acknowledges and agrees that Cream or its designee can enter the premises for purposes permitted by the Franchise Agreement. These purposes include inspecting the premises and the Jeni's Ice Creams Scoop Shop's operations.
Cream may also enter the premises to manage the franchisee's business on the franchisee's behalf under specific circumstances. This includes situations where the franchisee fails to timely correct a default of the Franchise Agreement and while Cream evaluates its right to purchase the location. Additionally, Cream can enter the premises to remove any trade fixtures or signage upon the termination or expiration of the Franchise Agreement.
The FDD states that if Cream enters the premises for any of these reasons, it will do so without assuming any liability under the lease. This provision protects Cream from being held responsible for the franchisee's lease obligations when exercising its rights of entry. This clause is included in a rider to the lease agreement between the franchisee and the landlord, further solidifying Cream's rights as a third-party beneficiary.
This arrangement ensures that Cream has the necessary access to protect its brand and operational standards, while also providing a mechanism for intervention in cases of franchisee default or termination. Prospective franchisees should understand these conditions and their implications for the operation of their Cream franchise.