On what page of the 7 Brew Franchise Agreement can I find information about Lease Matters?
7_Brew Franchise · 2025 FDDAnswer from 2025 FDD Document
ing airport transfers), accommodations in a facility subject to our approval, meals, and a daily allowance (paid weekly) upon which we and you agree for reasonable miscellaneous expenses.
4. Site Selection, Lease, and Developing the Store
A. Site Selection and Acceptance
- (1) You must find, obtain our written acceptance of, and secure a site for the Store following the procedures specified in the Development Rights Rider to which we and you (or your affiliate) are parties. We make no representations or warranties of any kind, express or implied, about a site's suitability for a 7 BREW Store. Our recommendation or acceptance of a site indicates only that we believe the site is not inconsistent with sites that we regard as favorable or that otherwise have been successful sites in the past for 7 BREW Stores. Applying criteria appearing effective with other sites might not accurately reflect the potential of all sites, and demographic or other factors included in or excluded from our criteria could change, altering a site's potential. The uncertainty and instability of these criteria are beyond our control, and we are not responsible if a site fails to meet your expectations.
- (2) You may not relocate the Store to a new site without our prior written consent, which we may grant or deny as we deem best. We may condition relocation approval on (a) the new site being acceptable to us, (b) your paying us a Five-Thousand Dollar ($5,000) relocation fee, (c) your reimbursing any costs we incur during the relocation process, (d) your confirming that this Agreement remains in effect and governs the Store's operation at the new site with no
change in the Term, (e) your signing 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, (f) your continuing to operate the Store at its original site until we authorize its closure, and (g) your taking within the timeframe we specify, and at your own expense, all actio
Source: Item 22 — CONTRACTS (FDD pages 82–83)
What This Means (2025 FDD)
According to the 2025 7 Brew Franchise Disclosure Document, information regarding lease matters can be found on page 95. Specifically, section 4.B of Item 22, which covers contracts, discusses lease matters related to site selection and store development. This section is important for prospective franchisees as it outlines the franchisee's responsibilities in securing a site and lease for their 7 Brew store.
7 Brew emphasizes that franchisees are solely responsible for all lease matters, including reviewing, negotiating, approving, and accepting the lease. However, 7 Brew does require that the site's lease incorporates the terms of their then-current Lease Rider for Traditional 7 Brew Stores. Franchisees must also provide 7 Brew with a fully-signed copy of each site's lease within ten days of the company's request.
This arrangement is typical in franchising, where the franchisee usually handles the real estate aspects while adhering to the franchisor's guidelines. The Lease Rider ensures that certain provisions are included in the lease to protect 7 Brew's interests. Prospective franchisees should carefully review the Lease Rider and understand their obligations regarding site selection and lease negotiation, as 7 Brew will not be involved in these processes beyond providing the Lease Rider terms.