Where can I find information about the grant of the 7 Brew franchise in the agreement?
7_Brew Franchise · 2025 FDDAnswer from 2025 FDD Document
3. Grant of Franchise
A. Grant of Franchise
Subject to this Agreement's terms, we grant you the right, and you commit, to construct, develop, and operate a Traditional 7 BREW Store at the address identified on Exhibit B (the "Store") using the Franchise System and the Marks. (If the Store's address is unknown as of the Effective Date, the address will be determined as provided in Section 4.A and then listed on an amended and restated Exhibit B we will give you.) Except as provided in this Agreement, your right to operate the Store is limited to products prepared and sold, and services provided, at the Store's physical location. It does not include the right to distribute products and services over the Internet, on a wholesale basis (for resale to another retailer or wholesaler), through delivery, or through other supply or distribution channels (for example, unapproved Apps, catalog sales, mailorder sales, infomercials, or telemarketing).
B. Term
The franchise term (the "Term") begins on the Effective Date and expires fifteen (15) years from the date on which the Store opens for business. The Term is subject to earlier termination under Section 18. You agree to operate the Store in compliance with this Agreement for the entire Term unless this Agreement is properly terminated under Section 18.
C. Territorial Rights
During the Term, we and our affiliates will not, except as provided in this Section 3.C and in Section 3.D below, own or operate, or allow another franchisee or licensee to own or operate, another Traditional 7 BREW Store that has its physical location within the geographical area described on Exhibit B (the "Area of Protection"). However, there are no restrictions whatsoever on our and our affiliates' activities with respect to Non-Traditional 7 BREW Stores physically located within the Area of Protection, including, but not limited to, our and our affiliates' right to own and operate and to grant others the right to own and operate such Non-Traditional 7 BREW Stores within the Area of Protection.
Source: Item 22 — CONTRACTS (FDD pages 82–83)
What This Means (2025 FDD)
According to the 2025 FDD, details regarding the grant of a 7 Brew franchise can be found in Section 3 of the franchise agreement, titled "Grant of Franchise." Specifically, Section 3.A outlines that, contingent upon the agreement's terms, 7 Brew grants the franchisee the right and commits the franchisee to construct, develop, and operate a Traditional 7 Brew Store at the address specified on Exhibit B, utilizing the Franchise System and Marks. The franchisee's right to operate the store is restricted to products prepared and sold, and services provided, at the store's physical location, excluding distribution over the Internet, wholesale, delivery, or other unapproved channels.
Section 3.B specifies the franchise term, stating that it commences on the Effective Date and extends for fifteen years from the store's opening date, subject to earlier termination as per Section 18. The franchisee is obligated to operate the store in compliance with the agreement for the entire term, unless properly terminated under Section 18.
Section 3.C describes the territorial rights granted to the franchisee. During the term, 7 Brew and its affiliates will not own, operate, or permit another franchisee or licensee to operate another Traditional 7 Brew Store within the geographical area defined on Exhibit B, referred to as the "Area of Protection." However, this restriction does not apply to Non-Traditional 7 Brew Stores, which 7 Brew and its affiliates retain the right to operate or grant others the right to operate within the Area of Protection.