How is the Expiration Date defined for the Crepe De Licious Area Development Agreement?
Crepe_De_Licious Franchise · 2025 FDDAnswer from 2025 FDD Document
RITORY RESERVATION AGREEMENT AND RECEIPT**
CREPE DE LICIOUS
TERRITORY RESERVATION AGREEMENT AND RECEIPT
[Prospective Franchisee Name] ("Prospective Franchisee") has communicated to Crepe Delicious Holding USA, Inc. ("Franchisor") its intent to purchase a Crepe de licious Franchise. Prospective Franchisee and Franchisor desire to enter into this Territory Reservation Agreement and Receipt ("Agreement") in order for Prospective Franchisee to reserve a territory for a Crepe de licious Franchise and Franchisor to acknowledge receipt of Prospective Franchisee's territory reservation fee ("Territory Reservation Fee"). A non-refundable Territory Reservation Fee of $10,000 is required to reserve such territory for purchase.
Franchisor hereby accepts the Territory Reservation Fee in the amount of $10,000 to secure a hold on the territory designated below until [Date], by which time the purchase of the Crepe de licious Franchise purchase is to be completed:
[Description of territory to be held]
Final territory definition will be based on the current population, geographic and demographic properties at the time of purchase. Any unreserv
Source: Item 22 — CONTRACTS (FDD page 57)
What This Means (2025 FDD)
According to the 2025 Crepe De Licious Franchise Disclosure Document, the expiration date for the territory reservation is specified in the Territory Reservation Agreement. The franchisor accepts a $10,000 Territory Reservation Fee to hold a designated territory until a specified date. By this date, the purchase of the Crepe De Licious franchise must be completed.
If the prospective franchisee does not sign a franchise agreement by the specified date, Crepe De Licious is entitled to retain the entire Territory Reservation Fee. This fee serves as consideration for holding the territory. After this date, Crepe De Licious is free to reserve or sell the territory to another prospective franchisee.
This arrangement means that a prospective Crepe De Licious franchisee has a limited time to evaluate the opportunity and finalize their decision. Failing to do so results in the loss of the $10,000 reservation fee. The prospective franchisee should carefully consider their timeline for due diligence and securing financing before entering into a Territory Reservation Agreement.