If a Carvel franchisee meets the renewal requirements, how long is the renewal term?
Carvel Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provisions | Section in Franchise Agreement | Summary |
|---|---|---|
| a. Length of the | FA: 2.1 | 20 years |
| franchise term | ES, HES, ICS: | 5 years for Express Shoppes, Hosted Express |
| 20.B. | Shoppes, and Ice Cream Trucks. | |
| b. Renewal or extension | FA: 2.2 | One 20-year renewal term if you comply with our |
| of the term | renewal requirements | |
| ES, HES: 20.C. | One five-year renewal term if you comply with our | |
| renewal requirements for Express Shoppes and | ||
| Hosted Express Shoppes. | ||
| ICS: 20.C. | If you operate an Ice Cream Truck, we may, in our | |
| sole discretion, offer you one additional five-year | ||
| renewal term. | ||
| c. Requirements for you renew or extend | FA: 3.2 | You must satisfy these requirements to enter into a renewal term: |
| ES, HES, ICS: | a. Timely request a renewal term | |
| 20.D. and 20.E. | b. Complete renewal application. | |
| CBS: 20.C. | c. | |
| Have been in substantial compliance with | ||
| Franchise Agreement. | ||
| d. Remodel, refurbish and renovate the Shoppe (or | ||
| make upgrades to the Ice Cream Truck, if applicable). | ||
| e. Secure right to operate at Accepted Location or | ||
| relocate the Shoppe if necessary to meet our then | ||
| current Standards | ||
| f. | ||
| Sign and return your Renewal Franchise | ||
| Agreement (which may be materially different from | ||
| the terms contained in the Franchise Agreement | ||
| attached to this Disclosure Document). | ||
| g. Pay the Renewal Fee | ||
| h. You and your guarantors and owners must sign a | ||
| general release. | ||
| i. If you operate a Co-Branded Shoppe, you must | ||
| secure the right from the Co-Branded Franchisor to | ||
| continue to operate the Co-Branded Franchise. |
Source: Item 17 — Renewal, Termination, Transfer, and Dispute Resolution (FDD pages 84–91)
What This Means (2025 FDD)
According to Carvel's 2025 Franchise Disclosure Document, the length of the renewal term depends on the type of franchise. For a standard Carvel franchise, franchisees who meet the renewal requirements are granted one 20-year renewal term. However, for Express Shoppes and Hosted Express Shoppes, the renewal term is one five-year term, provided the franchisee meets the renewal requirements.
For franchisees operating an Ice Cream Truck, Carvel has the discretion to offer one additional five-year renewal term. This means that renewal is not guaranteed for Ice Cream Truck operators, even if they meet all other requirements.
To qualify for renewal, all Carvel franchisees must meet certain conditions, including timely requesting a renewal term, completing a renewal application, being in substantial compliance with the Franchise Agreement, remodeling or upgrading their shop or truck, securing the right to operate at the current location, signing the Renewal Franchise Agreement, paying the Renewal Fee, and securing releases from all guarantors and owners. Co-Branded Shoppe franchisees must also secure the right to continue operating the Co-Branded Franchise from the Co-Branded Franchisor.