When does the Franchise Agreement for a Crisp & Green Franchised Restaurant become effective and control the establishment and operation of the restaurant?

According to Crisp & Green's 2024 Franchise Disclosure Document, the terms and conditions of the Franchise Agreement become effective and control the establishment and operation of the Franchised Restaurant upon the execution of each Franchise Agreement. This means that once the franchisee and Crisp & Green sign the Franchise Agreement for a specific restaurant, the obligations and rights outlined in that agreement immediately govern how that restaurant is set up and run.

For a prospective Crisp & Green franchisee, this highlights the importance of carefully reviewing the Franchise Agreement before signing. The agreement dictates many aspects of the business, so understanding its terms is crucial. This also means that each restaurant operated by a multi-unit franchisee will be governed by its own separate franchise agreement.

It is also important to note that the Development Agreement and the Franchise Agreement are separate. The Development Agreement grants the franchisee the right to open multiple Crisp & Green locations within a specific area, but each location requires its own Franchise Agreement. The Development Fee is for the rights granted under the Development Agreement and is not consideration for any Franchise Agreement. The Development Fee is earned upon the execution of the Development Agreement and is nonrefundable, even if the franchisee fails to open all the planned locations.