Who determines the territory for a Chocolate Fish Coffee franchise?

According to the 2024 Chocolate Fish Coffee Franchise Disclosure Document, Chocolate Fish Franchising determines the territory granted to a franchisee. The franchise agreement will specify a territory, typically with a population of approximately 40,000 people. This territory is usually defined as a radius around the franchisee's location, but Chocolate Fish Coffee may use other boundaries such as county lines, political boundaries, streets, geographical features, or trade areas.

If the specific location is not known when the franchise agreement is signed, the location is subject to Chocolate Fish Coffee's approval. Once Chocolate Fish Coffee accepts the proposed location, they will issue a Location Acceptance Letter stating the location and territory. Chocolate Fish Coffee determines the territory in its good faith discretion, substantially in accordance with Item 12 of the Franchise Disclosure Document.

A franchisee does not have the right to relocate their business, and Chocolate Fish Coffee has no obligation to approve any request for relocation. Franchisees also do not have the right to establish additional franchised outlets unless they sign a Multi-Unit Development Agreement (MUDA). If a MUDA is signed, the franchisee will have the right to establish a mutually-agreed number of additional outlets on a mutually-agreed schedule, subject to certain conditions including compliance with the development schedule and brand requirements.