Does the 7 Brew Guaranty survive the expiration or termination of the franchise agreement?
7_Brew Franchise · 2025 FDDAnswer from 2025 FDD Document
ccounts for such Digital Marketing and Social Media (unless we request you to assign them to us).
The "De-identification Date" means the date upon which this Agreement terminates or expires in accordance with its provisions and our notices to you in compliance with this Agreement.
C. Confidential Information
Upon termination or expiration of this Agreement, you and your owners must immediately cease using any of our Confidential Information in any business or otherwise and return to us all copies of the Operations Manual and any other confidential materials to which we gave you access. You may not sell, trade, or otherwise profit in any way from any Consumer Data or other Confidential Information at any time after expiration or termination of this Agreement.
D. Notification to Customers
Upon termination or expiration of this Agreement, we have the right to contact (at our expense) previous, current, and prospective customers to inform them that a 7 BREW Store no longer will operate at the Store's location. We also have the right to inform them of other nearby 7 BREW Stores. Exercising these rights will not constitute interference with your contractual or business relationships with those customers.
E. Covenant Not to Compete
Upon our termination of this Agreement in compliance with its terms, your termination of this Agreement without cause, or expiration of this Agreement (without the grant of a successor franchise), you and your owners agree that neither you, they, nor any member of your or their Immediate Families will:
- (1) have any direct or indirect, controlling or non-controlling interest as an owner whether of record, beneficial, or otherwise—in any Competitive Business located or operating:
- a. at the Store's site; or
- b. within three (3) miles of the former Store site; or
- c.
Source: Item 22 — CONTRACTS (FDD pages 82–83)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, the 7 Brew franchise agreement includes several obligations that survive the termination or expiration of the agreement. These obligations primarily relate to the protection of confidential information, de-identification of the store, non-compete agreements, and notification to customers.
Specifically, upon termination or expiration, the franchisee must immediately cease using 7 Brew's confidential information and return all copies of the operations manual and other confidential materials. The franchisee is also prohibited from profiting from consumer data or other confidential information after the agreement ends. This ensures that the franchisee cannot leverage 7 Brew's proprietary information for their own benefit after the franchise relationship concludes.
Additionally, the franchisee must de-identify the store to remove any association with the 7 Brew brand. This includes refraining from identifying themselves as a current or former 7 Brew franchisee, discontinuing the use of any marks or symbols associated with 7 Brew, and removing all signs and marketing materials that contain 7 Brew's branding. Furthermore, 7 Brew retains the right to notify customers that the store is no longer operating as a 7 Brew location and to inform them of other nearby 7 Brew stores. These measures protect 7 Brew's brand identity and customer relationships after a franchise agreement ends.