What is the term of the Development Agreement for Ben Jerrys, as defined in Exhibit A?
Ben_Jerrys Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Development Agreement | Summary | |
|---|---|---|---|
| a. Term of the | Exhibit A | Last date in Development | |
| agreement | Schedule |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 68–76)
What This Means (2025 FDD)
According to Ben Jerrys's 2025 Franchise Disclosure Document, the term of the Development Agreement is determined by the last date in the Development Schedule, as outlined in Exhibit A. This means the agreement's duration is not a fixed period but is tied to a specific schedule for development.
For a prospective Ben Jerrys developer, this implies that the length of the Development Agreement will depend on the agreed-upon schedule for opening new locations. The faster the development schedule, the shorter the term of the agreement, and vice versa. This contrasts with a standard franchise agreement, which typically has a fixed term.
This structure motivates developers to adhere to the agreed-upon development timeline. Failure to meet the schedule could lead to termination of the agreement, as indicated in the document. Therefore, understanding and negotiating a realistic Development Schedule is crucial for any potential Ben Jerrys developer to ensure they can fulfill their obligations within the specified timeframe.