What is the 'Franchised Business' in the context of a Crepe De Licious franchise assignment?
Crepe_De_Licious Franchise · 2025 FDDAnswer from 2025 FDD Document
- 1.02 Desire to Franchise. You desire, upon the terms and conditions set forth in this Agreement, to obtain a license to use the System and Marks in the establishment and operation of a Crepe de licious unit ("Restaurant, Kiosk, or Food Truck") to engage in the business of making and selling some or all of the following: crepe-based dishes and other specialty food items, gelato, beverage items and other items ("Franchised Business"). We are willing, upon the terms and conditions set forth herein, to license you to establish and operate the Franchised Business using the Marks and the System in a Restaurant, Kiosk, or Food Truck at an approved location. Unless the context indicates otherwise, capitalized terms have the meaning ascribed to them in this Agreement.
Source: Item 22 — CONTRACTS (FDD page 57)
What This Means (2025 FDD)
According to the 2025 Crepe De Licious Franchise Disclosure Document, the 'Franchised Business' refers to the specific business that a franchisee is licensed to operate, which involves making and selling crepe-based dishes, specialty food items, gelato, beverage items, and other related products. This business operates under the Crepe De Licious System and Marks, typically within a restaurant, kiosk, or food truck setting at an approved location. The franchise agreement grants the franchisee the right to use the Crepe De Licious System and Marks for this purpose.
This definition is important for prospective franchisees as it clearly outlines the scope of their business operations. It sets the boundaries for what products and services they are authorized to offer under the Crepe De Licious brand. Understanding this definition helps franchisees focus their efforts on the core offerings of the franchise and ensures consistency across all Crepe De Licious locations.
Furthermore, the Franchise Agreement emphasizes that the franchisee's rights to operate the Franchised Business are terminated upon the agreement's termination. Only the new franchisee has the right to operate the Franchised Business under the new agreement. This clarifies the transfer of rights during a franchise assignment and ensures that the new franchisee is the sole authorized operator of the Crepe De Licious business. This also protects Crepe De Licious's interests by ensuring that only authorized franchisees operate under their brand and system.