What is the initial term length for a Brueggers Bagels license agreement at an airport location?
Brueggers_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
**2.1.
Initial Term.** Subject to the rights of termination set forth in Section 10 and Licensee's rights under the Lease, the term of this Agreement (the "Term") shall commence on the Effective Date and expire: (a) five (5) years thereafter, or (b) ten (10) years thereafter for airport locations.
Source: Item 22 — CONTRACTS (FDD page 61)
What This Means (2025 FDD)
According to Brueggers Bagels's 2025 Franchise Disclosure Document, the initial term length for a license agreement is dependent on the location. For a standard Brueggers Bagels location, the initial term is five years. However, for airport locations, the initial term is ten years, subject to termination rights and the licensee's rights under the lease.
This difference in term length could be significant for prospective franchisees. A longer initial term at an airport location provides more security and time to recoup the initial investment. However, it also means a longer commitment to the Brueggers Bagels franchise system.
Upon expiration or termination of the agreement, the franchisee must comply with post-termination obligations, including ceasing use of the Brueggers Bagels system and proprietary marks. The franchisee also has the option to renew the license, but the renewal terms differ based on location type as well.