What are Non-Traditional Sites for Crepe De Licious restaurants, and can the Franchisor operate there?
Crepe_De_Licious Franchise · 2025 FDDAnswer from 2025 FDD Document
milar or different from Crepe Delicious Restaurants, at any location within or outside the Development Area, notwithstanding their proximity to the Development Area or their actual or threatened impact on sales or development of any of the Franchised Restaurant;
- 1.3.4 To own, acquire, establish, and/or operate and license others to establish and operate, Crepe Delicious Restaurants under the Marks at Non-Traditional Sites (as defined below) at any location within or outside the Development Area. As used in this Agreement, "Non-Traditional
Sites" shall mean outlets that serve primarily the customers located within a facility, such as captive audience facilities (examples include, but are not limited to, parks charging admission, stadiums, amusement parks and centers, theaters and art centers), limited purpose facilities (examples include, but are not limited to, airports, transportation centers, department stores, in-door shopping centers, office buildings, business and industrial complexes, museums, educational facilities, hospitals, art centers, and recreational parks), limited access facilities (examples include, but are not limited to, military complexes, buyer club businesses, educational facilities, business and industrial complexes), and other types of institutional accounts.
Source: Item 22 — CONTRACTS (FDD page 57)
What This Means (2025 FDD)
According to Crepe De Licious's 2025 Franchise Disclosure Document, non-traditional sites are defined as outlets serving primarily customers within a facility. These sites fall into categories like captive audience facilities, limited purpose facilities, and limited access facilities. Examples of captive audience facilities include parks charging admission, stadiums, amusement parks and centers, theaters, and art centers. Limited purpose facilities include airports, transportation centers, department stores, indoor shopping centers, office buildings, business and industrial complexes, museums, educational facilities, hospitals, art centers, and recreational parks. Limited access facilities include military complexes, buyer club businesses, educational facilities, and business and industrial complexes.
The Crepe De Licious franchise agreement specifies that the franchisor retains the right to own, acquire, establish, and operate Crepe De Licious restaurants at these non-traditional sites, both within and outside a franchisee's development area. This means that even if a franchisee has an exclusive territory, Crepe De Licious can still open locations at non-traditional sites within that territory.
This clause has significant implications for potential franchisees. While a franchisee may be granted a specific development area, the franchisor's ability to operate at non-traditional sites within that area could impact the franchisee's potential customer base and revenue. It is important for prospective franchisees to understand this provision and consider how it might affect their business. They should discuss with Crepe De Licious the potential for non-traditional sites in their desired territory and how the franchisor plans to manage any potential conflicts or competition.