Does the 7 Brew franchise agreement disclaim reliance on representations made in the Franchise Disclosure Document?
7_Brew Franchise · 2025 FDDAnswer from 2025 FDD Document
complete.
- (6) We make no commitment about the extent to which and where we and our affiliates will continue developing and expanding the 7 BREW Store network.
The acknowledgments in clauses (7) through (14) below apply to all franchisees and franchises except not to any franchisees and franchises that are subject to the state franchise registration/disclosure laws in California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington, and Wisconsin.
- (7) Other than disclosures in our franchise disclosure document, you have not received from us or our affiliates any representations or guarantees, express or implied, of a 7 BREW Store's potential volume, sales, income, or profits.
- (8) You read this Agreement and our franchise disclosure document and understand and accept that this Agreement's terms and covenants are reasonably necessary for us to maintain high product-quality and service standards (and the uniformity of those standards at each 7 BREW Store) and to protect and preserve the goodwill of the Marks.
- (9) You independently investigated the 7 BREW Store franchise opportunity and recognize that the nature of the Store's business will evolve and change over time.
- (10) Investing in a 7 BREW Store involves business risks that could result in your losing a significant portion or all of your investment.
- (11) Your business abilities and efforts are vital to your success.
- (12) We have not made any representation, warranty, or other claim regarding this 7 BREW Store franchise opportunity other than those made in this Agreement and our franchise disclosure document.
- (13) You had an opportunity to ask questions and to review materials of interest to you concerning the 7 BREW Store franchise opportunity.
- (14) You had an opportunity, and we encouraged you, to have an attorney or other professional advisor review this Agreement and all other materials we gave or made available to you.
3. Grant of Franchise
**A.
Source: Item 22 — CONTRACTS (FDD pages 82–83)
What This Means (2025 FDD)
According to the 2025 7 Brew Franchise Disclosure Document, the franchise agreement includes provisions about a franchisee's acknowledgement of the disclosures made within the document. However, these provisions do not apply to franchisees and franchises subject to state franchise registration/disclosure laws in California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Virginia, Washington, and Wisconsin.
Specifically, for franchisees in those listed states, no signed statement, questionnaire, or acknowledgement can waive claims under state franchise law, including fraud, or disclaim reliance on statements made by 7 Brew or anyone acting on their behalf. This condition overrides any conflicting terms in any document related to the franchise agreement.
For franchisees outside of those specific states, the franchise agreement stipulates that other than the disclosures in the Franchise Disclosure Document, the franchisee has not received any representations or guarantees regarding a 7 Brew store's potential volume, sales, income, or profits. The franchisee also acknowledges that 7 Brew has not made any representation, warranty, or other claim regarding the franchise opportunity beyond what is in the agreement and the Franchise Disclosure Document. This implies that franchisees in states other than those listed above are bound by these acknowledgements, potentially limiting their ability to claim reliance on external representations.