What must a 7 Brew franchisee confirm regarding their original Franchise Agreement when relocating?
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, a franchisee looking to relocate their store must confirm that their original Franchise Agreement remains in effect. This confirmation ensures that the terms and conditions of the initial agreement, including the franchise term, will continue to govern the store's operation at the new location without any changes. This requirement is one of several conditions 7 Brew imposes for relocation approval.
In addition to confirming the original Franchise Agreement, 7 Brew requires that the new site is acceptable to them, and the franchisee must pay a $5,000 relocation fee. The franchisee is also responsible for reimbursing any costs 7 Brew incurs during the relocation process. Furthermore, the franchisee must sign a general release of claims against 7 Brew and related parties, continue operating at the original site until authorized to close, and de-brand the former premises so it is no longer associated with the 7 Brew system.
This set of conditions ensures that 7 Brew maintains control over its brand and protects its interests during the relocation process. The relocation fee and cost reimbursement help offset any expenses 7 Brew incurs, while the general release protects the company from potential legal claims. The requirement to continue operating at the original site until authorized prevents any disruption of service, and the de-branding of the former premises ensures that the 7 Brew brand is not diluted or misrepresented.
For a prospective franchisee, these conditions highlight the importance of carefully considering the initial site selection and the potential costs and requirements associated with relocation. While relocation may seem like a viable option in certain circumstances, the associated fees, costs, and obligations can be significant. Franchisees should carefully evaluate these factors before deciding to relocate their 7 Brew store.