After termination or expiration of the Development Agreement for Brueggers Bagels, can I establish or operate any Bakery if a Franchise Agreement hasn't been executed before termination?
Brueggers_Bagels Franchise · 2025 FDDAnswer from 2025 FDD Document
Upon termination or expiration of this Agreement, you will have no right to establish or operate any Bakery for which a Franchise Agreement has not been executed by us prior to termination; and we will be entitled to establish, and to franchise others to establish, Bakeries at any location in the Development Area except as may be otherwise provided under the terms of any Franchise Agreement which remains in effect between us and you.
Further, upon termination or expiration of this Agreement, except as may be otherwise provided under the terms of any Franchise Agreement which remains in effect between us and you, you must:
10.1.1. Cease any action to select, negotiate, develop or construct a site for a Bakery
10.1.2. Cease to use the confidential methods, procedures, and techniques associated with the System, the "Bruegger's" and "Bruegger's Bagels" names and marks, all other Proprietary Marks, the Works, and all other distinctive forms, slogans, signs, symbols, Web sites, domain names, email addresses, other electronic identifiers, and devices associated with the System; withdraw all advertising matter (including electronic marketing); and except as provided in Section 10.2 below not thereafter, directly or indirectly, represent yourself to the public or hold yourself out as a present or former franchisee of ours;
10.1.3. Deliver to us the Manuals and all other records, correspondence, and instructions in your possession or control, in any medium, that contain confidential information, trade secrets, or know-how relating to the System or the operation of a Bakery, all of which you acknowledge to be our property;
10.1.4. Take such action as may be necessary to cancel any assumed name registration or equivalent registration, and any e-mail address or domain name registration, obtained by you which contains "Bruegger's" or any other Proprietary Marks, and furnish evidence satisfactory to us of compliance with this obligation within five (5) days after termination or expiration of this Agreement.
Source: Item 22 — CONTRACTS (FDD page 61)
What This Means (2025 FDD)
According to Brueggers Bagels' 2025 Franchise Disclosure Document, if the Development Agreement is terminated or expires, a developer cannot establish or operate a Brueggers Bagels bakery if a Franchise Agreement hasn't been executed before the termination. However, Brueggers Bagels retains the right to establish or franchise others to establish bakeries in the Development Area, unless a Franchise Agreement between the developer and Brueggers Bagels remains in effect.
Upon termination or expiration, the developer must cease all activities related to site selection, negotiation, development, or construction for a bakery. They must also discontinue using any confidential methods, procedures, and techniques associated with the Brueggers Bagels system, including the brand's names and marks. All advertising material must be withdrawn, and the developer cannot represent themselves as a current or former franchisee, unless otherwise provided by an existing Franchise Agreement.
The developer is obligated to return all manuals, records, correspondence, and instructions containing confidential information related to the Brueggers Bagels system. Additionally, they must cancel any assumed name, email address, or domain name registrations containing "Bruegger's" or other proprietary marks, providing evidence of compliance within five days of termination or expiration.
These stipulations ensure that upon termination or expiration of the Development Agreement, the developer fully disassociates from the Brueggers Bagels brand and ceases all operations related to establishing a bakery under the brand's system, unless a separate Franchise Agreement is in effect.