What are the requirements for an Annex Brands franchisee to renew or extend the franchise term?
Annex_Brands Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Franchise Agreement | Summary | |
|---|---|---|---|
| (a) | Length of the franchise term | 2.A | 20 years. |
| (b) | Renewal or extension of the term | 14.A | An additional 20-year term. |
| (c) | Requirements for you to renew or extend | 14.A to C | Substantially comply with franchise agreement and all other agreements with us or our affiliates; notify us of intent to renew 6-12 months before 20-year anniversary of execution of franchise agreement; show evidence of right to possess site, or secure approved substitute site; fully comply with specifications and standards for franchised businesses; sign general release; sign then current franchise agreement and related agreements; pay renewal fee. At the expiration of the term, if you seek to renew your franchise, you may be asked to sign a new franchise agreement that contains terms and conditions materially different from those in your previous franchise agreement, such as different fee requirements and territorial rights. |
Source: Item 17 — Renewal, Termination, Transfer, and Dispute Resolution (FDD pages 71–74)
What This Means (2025 FDD)
According to the 2025 Annex Brands Franchise Disclosure Document, the franchise term is 20 years, with the option for an additional 20-year term. To renew the franchise, a franchisee must substantially comply with the existing franchise agreement and all other agreements with Annex Brands or its affiliates.
The franchisee must notify Annex Brands of their intent to renew the franchise agreement between 6 and 12 months before the initial 20-year term expires. They must also provide evidence that they have the right to possess the current site or secure an approved substitute location. The franchisee needs to fully comply with all specifications and standards for Annex Brands franchised businesses.
In addition to meeting the above requirements, the franchisee must sign a general release and the then-current franchise agreement, along with any related agreements. The franchisee is also required to pay a renewal fee to Annex Brands. It is important to note that the new franchise agreement may contain terms and conditions that are materially different from the previous agreement, potentially including different fee requirements and territorial rights.