Can Crepe De Licious sell proprietary items through grocery stores?
Crepe_De_Licious Franchise · 2025 FDDAnswer from 2025 FDD Document
- (d) to sell or distribute, at retail or wholesale or otherwise, directly or indirectly, or license others to sell or distribute, any proprietary items (such as crepe ingredients, crepes, crepe-based food items and crepe sandwiches, and gelato) which bear any proprietary marks, including the Marks, through grocery stores, convenience stores, hotel shops and kiosks, theaters, malls, airports, gas stations, college campuses, sports venues, third party delivery companies, ghost kitchens, or other retail locations within or outside the Territory;
Source: Item 22 — CONTRACTS (FDD page 57)
What This Means (2025 FDD)
According to Crepe De Licious's 2025 Franchise Disclosure Document, Crepe De Licious retains the right to sell or distribute proprietary items through various retail channels. This includes the right to sell items such as crepe ingredients, crepes, crepe-based food items and crepe sandwiches, and gelato bearing proprietary marks through grocery stores, convenience stores, hotel shops and kiosks, theaters, malls, airports, gas stations, college campuses, sports venues, third party delivery companies, ghost kitchens, or other retail locations. This right extends both within and outside a franchisee's territory.
This means that a Crepe De Licious franchisee may face competition from Crepe De Licious itself or its licensees selling branded products in grocery stores or other retail locations, even within the franchisee's territory. The franchisee will not receive any compensation from these sales. This could potentially impact the franchisee's revenue if customers opt to purchase Crepe De Licious products from these alternative channels instead of the franchisee's location.
Furthermore, Crepe De Licious also reserves the right to operate non-storefront businesses under its marks and to establish Crepe De Licious restaurants at non-traditional sites such as airports, stadiums, and educational facilities, both within and outside the franchisee's development area. These actions could further intensify competition for the franchisee. A prospective franchisee should consider the potential impact of these alternative distribution channels and locations on their business's profitability and market share.