Under what conditions will an amended Exhibit B be provided for a 7 Brew franchise agreement?
7_Brew Franchise · 2025 FDDAnswer from 2025 FDD Document
Subject to this Agreement's terms, we grant you the right, and you commit, to construct, develop, and operate a Traditional 7 BREW Store at the address identified on Exhibit B (the "Store") using the Franchise System and the Marks. (If the Store's address is unknown as of the Effective Date, the address will be determined as provided in Section 4.A and then listed on an amended and restated Exhibit B we will give you.) Except as provided in this Agreement, your right to operate the Store is limited to products prepared and sold, and services provided, at the Store's physical location. It does not include the right to distribute products and services over the Internet, on a wholesale basis (for resale to another retailer or wholesaler), through delivery, or through other supply or distribution channels (for example, unapproved Apps, catalog sales, mailorder sales, infomercials, or telemarketing).
Source: Item 22 — CONTRACTS (FDD pages 82–83)
What This Means (2025 FDD)
According to the 2025 FDD, 7 Brew will provide an amended and restated Exhibit B to the franchise agreement if the store's address is unknown as of the effective date of the agreement. In this case, the address will be determined as provided in Section 4.A of the franchise agreement and then listed on the amended Exhibit B.
For a prospective franchisee, this means that the specific location of their 7 Brew store might not be finalized when the initial franchise agreement is signed. This is not uncommon in franchising, especially when dealing with new construction or site selection that requires further due diligence. The amended Exhibit B serves to formally document the agreed-upon location once it has been determined.
It is important for the franchisee to understand the process and timeline for determining the store's address, as this is a critical element of the franchise agreement. Franchisees should pay close attention to Section 4.A of the agreement, which governs how the location will be determined. Franchisees should also confirm that the area of protection described in the Exhibit B aligns with their expectations.