Can Beyond Juicery Eatery modify or discontinue system-wide supply contracts?
Beyond_Juicery_Eatery Franchise · 2025 FDDAnswer from 2025 FDD Document
We may, in the exercise of our business judgment, enter into supply contracts for all Restaurants or a subset of Restaurants situated within one (1) or more geographic regions (each, a "system-wide supply contract").
We may enter into system-wide supply contracts with one or more suppliers of products, services, equipment that all affiliateowned and franchised Restaurants in a geographic area will be required to purchase, use, or sell.
If we do so, then immediately upon notification, you, us and all other franchise Restaurants in the geographic area must purchase the specified product, service, or equipment only from the Designated Supplier.
However, if at the time of our notification, you are already a party to a nonterminable supply contract with another supplier or vendor for the product, service, or equipment, then your obligation to purchase from our Designated Supplier under the system-wide supply contract will not begin until the scheduled expiration (or earlier termination) of your pre-existing supply contract.
We make no representation that we will enter into any system-wide supply contracts or other exclusive supply arrangements or, if we do so, that you would not otherwise be able to purchase the same products and/or services at a lower price from another supplier.
We may add to, modify, substitute, or discontinue system-wide supply contracts or exclusive supply arrangements in the exercise of our business judgment.
Source: Item 23 — RECEIPTS (FDD pages 60–337)
What This Means (2025 FDD)
According to Beyond Juicery Eatery's 2025 Franchise Disclosure Document, Beyond Juicery Eatery has the authority to modify or discontinue system-wide supply contracts. Specifically, Beyond Juicery Eatery may enter into system-wide supply contracts with one or more suppliers of products, services, and equipment that all affiliate-owned and franchised Restaurants in a geographic area will be required to purchase, use, or sell.
If Beyond Juicery Eatery establishes a system-wide supply contract, franchisees must purchase the specified product, service, or equipment only from the designated supplier immediately upon notification. An exception exists if a franchisee is already party to a nonterminable supply contract with another vendor; in this case, the franchisee's obligation to purchase from Beyond Juicery Eatery's designated supplier will begin upon the expiration or termination of the pre-existing contract.
Beyond Juicery Eatery makes no guarantee that it will enter into any system-wide supply contracts or that franchisees would not otherwise be able to find the same products or services at a lower price from another supplier. Beyond Juicery Eatery retains the right to add to, modify, substitute, or discontinue system-wide supply contracts or exclusive supply arrangements based on its business judgment. This clause gives Beyond Juicery Eatery significant control over the supply chain, which could impact a franchisee's costs and sourcing options.