What is the 'Development Area' comprised of in the Ben Jerrys agreement?
Ben_Jerrys Franchise · 2025 FDDAnswer from 2025 FDD Document
Each Scoop Shop to be developed hereunder shall be located in the areas described in Exhibit B to this Agreement (each individual area is a "Deposit Area"), and shall be established and operated pursuant to a separate Franchise Agreement to be entered into between DEVELOPER and BEN & JERRY'S.
The Deposit Areas shall, collectively, comprise the "Development Area;" provided, however, that as of the date on which a site for a Scoop Shop to be developed within a Deposit Area is approved by BEN & JERRY'S, as set forth in this Agreement, such Deposit Area shall cease to be part of the Development Area.
Exhibit B
to
Ben & Jerry's Franchising, Inc. Development Agreement
Development Area
The Paragraphs below specify each of the Deposit Areas in which the Scoop Shops are to be developed. Together these Deposit Areas comprise the Development Area (Section 1.1) (The numbers listed below in this Exhibit are not intended to specify any order of development, and refer only to the number of Scoop Shops to be developed within each Deposit Area):
Source: Item 23 — RECEIPTS (FDD pages 134–358)
What This Means (2025 FDD)
According to Ben Jerrys's 2025 Franchise Disclosure Document, the Development Area is collectively comprised of Deposit Areas, as specified in Exhibit B of the Development Agreement. Each Deposit Area represents an individual area where a Ben Jerrys Scoop Shop is to be developed. However, once a site within a Deposit Area is approved by Ben Jerrys for a Scoop Shop, that specific Deposit Area is no longer considered part of the overall Development Area.
Exhibit B further clarifies that the numbers assigned to the Deposit Areas are not intended to dictate the order in which the Scoop Shops should be developed. These numbers are simply for identification purposes, indicating the number of Scoop Shops planned for each Deposit Area. This provides a framework for the developer to understand the scope of their development obligations within the designated territory.
Ben Jerrys also retains specific rights within the Development Area. Ben Jerrys can establish or operate businesses outside the Development Area, including those selling products under the Proprietary Marks. This means that while the developer has certain exclusive rights within their Development Area, Ben Jerrys maintains the flexibility to expand its brand presence elsewhere. This is a common practice in franchising, allowing the franchisor to pursue growth opportunities while granting franchisees defined territories.