factual

If Crepe De Licious modifies the invalid provision, what is the goal of the modification?

Crepe_De_Licious Franchise · 2025 FDD

Answer from 2025 FDD Document

  • d. You and we both believe that the covenants in this Agreement are reasonable in terms of scope, duration, and geographic area. However, we may at any time unilaterally modify the terms of this Agreement upon written notice to you by limiting the scope of the Prohibited Activities, narrowing the definition of a Competitive Business, shortening the duration of the Restricted Period, reducing the geographic scope of the Restricted Territory, and/or reducing the scope of any other covenant imposed upon you under this Agreement to ensure that the terms and covenants in this Agreement are enforceable under applicable law.

Source: Item 22 — CONTRACTS (FDD page 57)

What This Means (2025 FDD)

According to the 2025 Crepe De Licious Franchise Disclosure Document, Crepe De Licious may modify the terms of the agreement to ensure its enforceability under applicable law. This modification can be done unilaterally with written notice to the franchisee.

Specifically, Crepe De Licious may limit the scope of prohibited activities, narrow the definition of a competitive business, shorten the duration of the restricted period, reduce the geographic scope of the restricted territory, and/or reduce the scope of any other covenant imposed upon the franchisee under the agreement.

This provision is included because some aspects of franchise agreements, particularly non-compete clauses, may be challenged in court as being overly broad or restrictive. By retaining the right to modify these terms, Crepe De Licious aims to avoid potential legal challenges and ensure that the agreement remains valid and enforceable, while still protecting its legitimate business interests.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.