Can 7 Brew relocate a store if the new site is not acceptable to them?
7_Brew Franchise · 2025 FDDAnswer from 2025 FDD Document
te the Store only at that site. You may not relocate the Store without our prior written consent, which we have the right to grant or deny as we deem best. Whether or not we will allow relocation depends on circumstances at the time and what is in the Store's and our system's best interests. Factors include, for example, the new site's market area, its proximity to other Stores in our system, whether you are complying with your Franchise Agreement, and how long it will take 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 cannot relocate a store to a site that 7 Brew does not find acceptable. 7 Brew must first provide written consent for any relocation, and they have the right to deny relocation requests as they see fit. The decision to allow relocation depends on the circumstances at the time and what 7 Brew determines to be in the best interests of the store and the 7 Brew system. Factors that 7 Brew will consider include the new site's market area, its proximity to other stores, the franchisee's compliance with the Franchise Agreement, and the time it will take to open at the new site.
7 Brew lists several conditions that must be met before relocation approval is granted. One of these conditions is that the new site must be acceptable to 7 Brew. Other conditions include paying a $5,000 relocation fee and reimbursing any costs 7 Brew incurs during the relocation process. The franchisee must also confirm that the original Franchise Agreement remains in effect, sign a general release of claims against 7 Brew, continue operating at the original site until 7 Brew authorizes closure, and de-brand the former premises so it is no longer associated with the 7 Brew system.
This policy is fairly standard in franchising, as franchisors want to maintain control over brand consistency and market strategy. The relocation fee is also a common practice to cover the franchisor's administrative and evaluation costs. The conditions for relocation approval are designed to protect 7 Brew's interests and ensure a smooth transition. A prospective franchisee should carefully consider these conditions and the potential costs associated with relocation before signing the Franchise Agreement.