Where in the Coffee News Franchise Agreement can I find information about the renewal of the franchise?
Coffee_News Franchise · 2025 FDDAnswer from 2025 FDD Document
chedule A for a period of sixty (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, details regarding the renewal of the franchise agreement can be found in Section 3.2 of the agreement.
The Coffee News franchise agreement has an initial term, as specified in paragraph 3.1, that concludes on a specific date. However, franchisees have the option to automatically renew their agreement for additional four-year periods, provided certain conditions are met.
To renew their Coffee News franchise, franchisees must have consistently fulfilled their obligations to the satisfaction of Coffee News, and the agreement must be active and in good standing at the end of its current term, with no breaches of its terms. Furthermore, franchisees must adhere to the terms of the then-current Coffee News Franchise Agreement upon renewal, although they will not be required to pay an additional deposit. Franchisees must sign the updated agreement at least three months before the expiration of the current term.
Finally, franchisees must provide Coffee News with written notice of their intent to renew at least six months before the end of the current term, whether it's the initial term or any subsequent renewal period. This notice period allows Coffee News to prepare the necessary documentation and ensure a smooth transition for the franchisee.