Must the proposed transferee of a Crisp & Green franchise be of good character?
Crisp_Green Franchise · 2024 FDDAnswer from 2024 FDD Document
Upon submission to a background check and credit check (the "Background Check"), we will reserve this Preliminary Designated Area exclusively for you and will not offer it to any other franchisee until the earlier of (1) 30 calendar days following confirmation that you have submitted to the Background Check, and (2) our determination, based on the results of the Background Check and in our sole and absolute discretion, that you are unsuitable to run a franchised Restaurant (the earlier date, the "Expiration Date").
Source: Item 23 — RECEIPTS (FDD pages 66–252)
What This Means (2024 FDD)
The 2024 Crisp & Green Franchise Disclosure Document (FDD) does not explicitly state that a proposed transferee must be of "good character." However, the FDD includes an example of a Letter of Intent which states that Crisp & Green will conduct a background check and credit check on potential franchisees.
The Letter of Intent states that upon submission to a background check and credit check, Crisp & Green will reserve a Preliminary Designated Area exclusively for the potential franchisee. This area will be reserved until the earlier of 30 calendar days following confirmation that the background check was submitted, or Crisp & Green's determination, based on the results of the background check and in their sole and absolute discretion, that the applicant is unsuitable to run a franchised Restaurant.
This suggests that Crisp & Green assesses the suitability of potential franchisees based on background and credit checks, which could be interpreted as an evaluation of their character and financial responsibility. A prospective franchisee should inquire with Crisp & Green about the specific criteria used in the background check and the reasons why an applicant might be deemed unsuitable.