What is the purpose of the Evaluation Period for prospective Ben Jerrys operators?
Ben_Jerrys Franchise · 2025 FDDAnswer from 2025 FDD Document
Y'S, as the result of the expenditure of time, skill, effort, and money, have developed a distinctive system (the "System") relating to the establishment and operation of franchised and company-operated Ben & Jerry's ice cream and frozen yogurt shops that display BEN & JERRY's interior and exterior trade dress and that primarily sell at the retail shops ice cream, ice milk, sorbet, yogurt, frozen yogurt, frozen desserts, toppings, confections, novelties, fountain ingredients, other food and beverages items under the mark "Ben & Jerry's" and other proprietary marks of BEN & JERRY'S.
- B. PROSPECTIVE OPERATOR has applied to BEN & JERRY'S for the right to enter into a franchise under the System through a Ben & Jerry's Franchising, Inc. Franchise Agreement (the "Franchise Agreement"), that would give PROSPECTIVE OPERATOR the right and obligation to develop and operate a Scoop Shop at a specific location (the "Shop").
- C. BEN & JERRY'S must expend considerable time, effort, and cost during the twelve (12)-month evaluation period (the "Evaluation Period") to evaluate site proposals and designs submitted by PROSPECTIVE OPERATOR.
- D. PROSPECTIVE OPERATOR has placed a deposit with BEN & JERRY'S as evidence of good faith during the Evaluation Period.
- NOW, THEREFORE, in consideration of the promises and covenants contained in this Preliminary Agreement, and for other good and valuable consideration, the receipt and adequacy of which are acknowledged, the parties agree as follows:
-
- The Deposit. PROSPECTIVE OPERATOR has delivered to BEN & JERRY'S a non-refundable deposit (the "Deposit") as evidence of good faith during the Evaluation Period. If the PROSPECTIVE OPERATOR is not an existing operator in the System prior to entering into this Agreement, the Deposit shall be in the amount of $10,000. If the PROSPECTIVE
OPERATOR is an existing operator in the System prior to entering into this Agreement, the Deposit shall be in the amount of $5,000.
- Extension of Evaluation Period and Refundability of the Deposit. In the event that PROSPECTIVE OPERATOR desires an extension of the Evaluation Period, PROSPECTIVE OPERATOR must submit a request, in writing, at least thirty (30) days prior to the expiration of the Evaluation Period. The Evaluation Period then may be extended, at BEN & JERRY'S discretion, for a period of six (6) months for each extension.
At the end of the initial Evaluation Period or, if applicable, the last of any granted extensions, this Preliminary Agreement shall automatically expire and be of no further force or effect except as specifically set forth herein.
| OPERATOR acknowledges and agrees that any customer lists, customer files, | |
|---|---|
| databases, records, mailing lists, and any other customer information obtained in conjunction | |
| with the operation of the OPERATOR’s Shop, or obtained in connection with OPERATOR’S | |
| Off-Premises Activities, On-Demand Sales and Mobile Vending (collectively, the “Customer | |
| Lists” ”), shall be the exclusive property of BEN & JERRY’S and shall constitute proprietary | |
| information of BEN & JERRY’S. BEN & JERRY’S has the right to use such Customer Lists in | |
| any manner that BEN & JERRY’S deems appropriate without compensation to OPERATOR. | |
| Such Customer Lists must be accessible to Ben & Jerry’s pursuant to Section 7.11.2 of this | |
| Agreement. OPERATOR may not, without the prior written consent of BEN & JERRY’S, | |
| disclose Customer Lists, or any portion thereof, to any person other than BEN & JERRY’S, | |
| either during the term of this Agreement or thereafter. | |
| BEN & JERRY’s privacy policies and practices related to the Customer Lists as specified in the | |
| Manual or otherwise in writing. BEN & JERRY’S hereby licenses the use of such data back to | |
| OPERATOR, at no additional cost, solely for the term of this Agreement and solely for | |
| OPERATOR’S use in connection with the Scoop Shop. |
-
- No Franchise Rights.
Source: Item 23 — RECEIPTS (FDD pages 134–358)
What This Means (2025 FDD)
According to Ben Jerrys's 2025 Franchise Disclosure Document, the Evaluation Period is a 12-month period during which Ben Jerrys assesses a prospective operator's qualifications and proposed site. Ben Jerrys expends time, effort, and cost to evaluate site proposals and designs submitted by the prospective operator. The prospective operator is expected to locate and submit one or more proposed sites for a shop that Ben Jerrys finds acceptable.
During this period, the prospective operator must submit a site evaluation package (SEP) for each proposed site, including preliminary designs, demographic data, and cost factors. Ben Jerrys has the right to require SEPs for up to three sites simultaneously and has ten business days to approve or disapprove a proposed site. Written approval, in the form of a Site Authorization Notice, is required before the prospective operator can execute a lease or purchase agreement for the site. The lease or purchase agreement must comply with specific conditions, including a lease term of ten years (unless a shorter term is approved) and provisions protecting Ben Jerrys's proprietary marks and system.
The prospective operator also delivers a non-refundable deposit as evidence of good faith during the Evaluation Period. The deposit is $10,000, but if the prospective operator is an existing operator in the Ben Jerrys system, the deposit is $5,000. The Evaluation Period can be extended by Ben Jerrys for additional six-month periods if the prospective operator requests it in writing at least thirty days before the expiration of the current period. During the Evaluation Period, the prospective operator may receive confidential information about Ben Jerrys and its system, which they are obligated to protect and not disclose. The obligations regarding confidentiality survive the termination of the Preliminary Agreement.