Under the Rider to Lease Agreement, is the Cream franchisee independently owned and operated at the Premises?

According to Cream's 2025 Franchise Disclosure Document, the Tenant's (franchisee) operations at the Premises are independently owned and operated. The Landlord acknowledges this in the context of the lease agreement. The Landlord also acknowledges that the Tenant alone is responsible for all obligations under the Lease unless and until Cream or another franchisee expressly, and in writing, assumes such obligations and takes actual possession of the Premises. This means that the franchisee has control over the day-to-day operations of their Cream shop.

This arrangement is typical in franchising, where franchisees are independent business owners operating under the franchisor's brand and system. While Cream provides the brand, training, and support, the franchisee manages the business at the local level. This independence allows franchisees to tailor their approach to the local market while adhering to Cream's standards.

However, Cream retains certain rights and controls as outlined in the franchise agreement and the Rider to Lease. For example, Cream has the right to enter the premises for inspections, to manage the business under certain circumstances, or to remove trade fixtures upon termination of the agreement. Furthermore, the franchisee cannot amend the lease or the Rider without Cream's prior written consent. These provisions ensure that Cream can protect its brand and system standards, even while the franchisee operates independently.