Does the 7 Brew Franchise Agreement change in term length when a store is relocated?
7_Brew Franchise · 2025 FDDAnswer from 2025 FDD Document
ke you to open at the new site.
Conditions for relocation approval are (1) the new site is acceptable to us, (2) you pay us a $5,000 relocation fee, (3) you reimburse any costs we incur during the relocation process, (4) you confirm that your original Franchise Agreement remains in effect and governs the Store's operation at the new site with no change in the franchise term, (5) you sign a general release, in a form satisfactory to us, of any and all claims against us and our owners, affiliates, officers, directors, employees, and agents, (6) you continue operating the Store at its original site until we authorize its closure, and (7) you de-brand and de-identify the Store's former premises within the timeframe we specify and at your own expense so it no longer is associated in any manner (in our opinion
Source: Item 12 — TERRITORY (FDD pages 45–49)
What This Means (2025 FDD)
According to 7 Brew's 2025 Franchise Disclosure Document, the original Franchise Agreement remains in effect, with no change to the franchise term, if a store is relocated. However, relocating a 7 Brew store requires prior written consent from 7 Brew, which they have the right to grant or deny. The decision to allow relocation depends on the circumstances at the time and what 7 Brew deems to be in the best interests of the store and the 7 Brew system. Factors considered include the new site's market area, its proximity to other stores, compliance with the Franchise Agreement, and the time it will take to open at the new location.
To gain approval for relocation, a 7 Brew franchisee must meet several conditions. First, the new site must be acceptable to 7 Brew. Second, the franchisee must pay a $5,000 relocation fee. Third, the franchisee must reimburse any costs 7 Brew incurs during the relocation process. Fourth, the franchisee must confirm that the original Franchise Agreement remains in effect, with no changes to the franchise term. Fifth, the franchisee must sign a general release of claims against 7 Brew and its affiliates. Sixth, the franchisee must continue operating the store at its original site until 7 Brew authorizes its closure. Finally, the franchisee is responsible for de-branding and de-identifying the former premises within a timeframe specified by 7 Brew, ensuring it is no longer associated with the 7 Brew system and trademarks.
This policy ensures that 7 Brew maintains control over its brand and locations, even when a franchisee wishes to move an existing store. The relocation fee and cost reimbursement protect 7 Brew from expenses associated with the move, while the continuation of the original Franchise Agreement and the general release protect 7 Brew from potential legal issues. The de-branding requirement ensures that the former location does not create confusion or negatively impact the 7 Brew brand. For a prospective franchisee, this means that relocation is possible but subject to 7 Brew's approval and specific financial and legal requirements.