When is the De-Identification Fee due for a 7 Brew franchise?
7_Brew Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee(1, 6) | Amount(2) | Due Date | Remarks |
|---|---|---|---|
| De-Identification Fee | Out-of-pocket cost reimbursement | As incurred | You must reimburse our costs of de- identifying your Store if you fail to do so. |
Source: Item 6 — OTHER FEES (FDD pages 16–23)
What This Means (2025 FDD)
According to 7 Brew's 2025 Franchise Disclosure Document, the De-Identification Fee is due 'as incurred.' This means the fee is payable when 7 Brew incurs the costs associated with de-identifying a franchisee's store.
The amount of the De-Identification Fee is an 'out-of-pocket cost reimbursement.' This indicates that the fee will cover the direct expenses 7 Brew incurs to remove the branding and other identifying elements from a former franchise location if the franchisee fails to do so themselves.
This fee is triggered if a franchisee fails to de-identify their store when required, likely at the end of the franchise agreement term or upon termination. The franchisee is responsible for reimbursing 7 Brew for the costs they incur to complete this process. It is important to note that the franchisee is responsible for the out-of-pocket costs, so the amount can vary depending on the size and location of the store.
Franchisees should ensure they understand the specific requirements for de-identification outlined in the franchise agreement to avoid incurring this fee. Proactive communication with 7 Brew regarding store de-identification procedures can also help prevent misunderstandings and unexpected costs.