How will Crepe De Licious notify Owners of a reduction in the scope of the non-competition covenants?
Crepe_De_Licious Franchise · 2025 FDDAnswer from 2025 FDD Document
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 System Protection Agreement. If Crepe De Licious chooses to limit the scope of prohibited activities, narrow the definition of a competitive business, shorten the restricted period, reduce the geographic scope of the restricted territory, or reduce the scope of any other covenant, they will provide written notice to the franchisee.
This means that Crepe De Licious retains the right to adjust the non-compete terms, potentially making them less restrictive for the franchisee. This could be beneficial to the franchisee, as it may allow for more flexibility in future business ventures after leaving the Crepe De Licious system.
The modification is done unilaterally, meaning Crepe De Licious does not need the franchisee's consent to make these changes. However, they are obligated to inform the franchisee in writing of any such modifications. This ensures that the franchisee is aware of the current terms of the non-compete agreement.