On what date does the initial Coffee News Franchise Agreement expire?
Coffee_News Franchise · 2025 FDDAnswer from 2025 FDD Document
(60) days from the due date may result in the loss of all Franchises and termination of receipt of the Periodical by Franchisee, at the option of Franchisor.
3. TERM AND RENEWAL.
- 3.1 Term. The term of this Agreement shall commence upon execution hereof by all parties hereto and shall expire on ______ 31, 20____, subject to earlier termination pursuant to the terms of this Agreement.
- 3.2 Renewal. Franchisee shall have the right to automatically renew this agreement for subsequent four (4) year periods provided that:
- (a) Performance of Obligations. Franchisee has duly performed its obligations hereunder to the satisfaction of Franchisor;
- (b) Agreement In Force. This Agreement is in full force at the end of the term provided for in paragraph 3.1 and Franchisee is not then in breach of any terms hereof:
- (c) Renewal Terms. The Franchisee hereby agrees that upon renewal, the Franchisee shall comply with the then current Coffee News Franchise Agreement, except that there shall be no additional deposit from the Franchisee. Franchisor shall furnish the Franchisee with a copy of Franchisor's then current Franchise Agreement (and related agreements), which Agreement the Franchisee must execute no later than 3 months prior to the expiration of this Agreement.
Source: Item 23 — Receipts (FDD pages 36–118)
What This Means (2025 FDD)
According to Coffee News's 2025 Franchise Disclosure Document, the initial term of the Franchise Agreement commences upon execution by all parties and expires on a specified date, indicated as "______ 31, 20____," subject to earlier termination as per the agreement's terms.
This means that the exact expiration date is not pre-defined in the FDD but will be determined at the time the agreement is signed. A prospective franchisee needs to fill in the month and year at the time of signing the agreement. The franchisee should note this date carefully as it marks the end of the initial franchise term.
Coffee News offers an automatic renewal option for subsequent four-year periods, provided the franchisee has met all obligations, the agreement is in full force, and the franchisee is not in breach of any terms. To renew, the franchisee must comply with the then-current Coffee News Franchise Agreement, without any additional deposit required. The franchisee must also provide written notice to Coffee News at least six months before the end of the current term.
It is important for a potential Coffee News franchisee to understand the initial term and renewal conditions, as these dictate the length of the franchise and the requirements for extending it. Paying attention to the notice deadlines for renewal is also crucial to ensure continuous operation of the franchise.