For a Crisp & Green franchise, what is the deadline for signing the Franchise Agreement for the second restaurant?
Crisp_Green Franchise · 2024 FDDAnswer from 2024 FDD Document
The following provisions control with respect to your development rights and obligations:
- A. You must comply with the Development Schedule requirements regarding: (i) the execution of the Franchise Agreements; (ii) the opening date for each Franchised Restaurant; and (iii) the cumulative number of Franchised Restaurants to be open and continuously operating for business in the Development Area. If you fail to either sign a Franchise Agreement or to open a Franchised Restaurant according to the dates set forth in the Development Schedule, we, in our sole discretion, may immediately terminate this Agreement under Section 5, or alter your Development Area as described in Section 1.C.
- B. You may not open a Franchised Restaurant under this Agreement unless you meet each of the following conditions (these conditions apply to each Franchised Restaurant to be developed in the Development Area):
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- You must not be in default of this Agreement, any Franchise Agreement entered into under this Agreement, or any other agreement between you or any of your Affiliates and us or any of our Affiliates. You also must have satisfied on a timely basis all monetary
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Source: Item 23 — RECEIPTS (FDD pages 66–252)
What This Means (2024 FDD)
According to Crisp & Green's 2024 Franchise Disclosure Document, the deadline for signing the Franchise Agreement for the second restaurant is determined by the Development Schedule outlined in the Rider to the Development Agreement. Time is of the essence, and franchisees must adhere to the schedule for signing each Franchise Agreement. Failure to meet these deadlines may result in Crisp & Green terminating the Development Agreement or altering the franchisee's Development Area.
The Development Schedule specifies the dates by which Franchise Agreements must be executed and restaurants must be opened. These requirements apply to each restaurant to be developed within the Development Area. The franchisee is responsible for identifying and securing suitable sites for each Crisp & Green restaurant, subject to the franchisor's approval.
It is important to note that the form of the Franchise Agreement may change over time, potentially including different fees and obligations. However, franchisees operating under a Development Agreement will not be required to pay an initial franchise fee for subsequent restaurant agreements. The Development Agreement and each Franchise Agreement are construed independently, with the terms of the Franchise Agreement governing the establishment and operation of each Crisp & Green restaurant.
Prospective Crisp & Green franchisees should carefully review the Development Schedule in the Rider to understand the specific deadlines for signing Franchise Agreements and opening restaurants. They should also discuss with the franchisor the potential for modifications to the Franchise Agreement and the implications for their development plans.