What does a dozen cost? @ 17-20 per box x 100 boxes. Sounds like a pretty good profit. I don't see how Krispy Kreme gets any say in the matter. He is buying retail and basically getting paid a service fee for delivery.
And if he doesn't pay state or federal taxes and sales taxes he could get himself in big trouble. There's a lot more to it than reselling a dozen doughnuts.