What is the latest closing date 7 Brew can set when exercising its right-of-first-refusal?
7_Brew Franchise · 2025 FDDAnswer from 2025 FDD Document
If we do not exercise our right-of-first-refusal, the title-holder may complete the sale to the proposed buyer on the original offer's terms. If the title-holder does not complete the sale to the proposed buyer within sixty (60) days after we notify the title-holder that we do not intend to exercise our right-of-first-refusal, or if there is a material change in the sale's terms (which the title-holder agrees to tell us promptly), we will have an additional right-of-first-refusal during the thirty (30) days following either expiration of the sixty (60) day period or our receipt of notice of the material change(s) in the sale's terms.
Source: Item 22 — CONTRACTS (FDD pages 82–83)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, the closing date for 7 Brew's right-of-first-refusal is not explicitly detailed in the provided Item 22 excerpts. However, the document outlines a timeframe related to the sale of a title-holder's property.
Specifically, if 7 Brew chooses not to exercise its right-of-first-refusal, the title-holder has 60 days to complete the sale to the proposed buyer under the original offer's terms. If this sale does not occur within that 60-day window, or if there are material changes to the sale terms, 7 Brew gains an additional right-of-first-refusal for 30 days following either the expiration of the initial 60-day period or the receipt of notice regarding the material changes.
While these clauses discuss timeframes related to the right-of-first-refusal, they do not specify the latest possible closing date 7 Brew can set if it does choose to exercise that right. To determine this, a prospective franchisee should ask 7 Brew directly about the typical closing timelines associated with their right-of-first-refusal and whether there are any factors that could extend or shorten this period.