What is the term length for Coffee News initial franchise sale contracts?
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 the 2025 Coffee News 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 based on the agreement's terms.
Coffee News franchisees have the option to renew their agreement for subsequent four-year periods, provided they meet certain conditions. These conditions include the franchisee's satisfactory performance of their obligations, the agreement being in full force at the end of the current term, and the franchisee not being in breach of any terms.
To renew, a Coffee News franchisee must comply with the then-current Coffee News Franchise Agreement, although no additional deposit is required. The franchisee must execute the updated agreement at least three months before the expiration of the current term. Furthermore, the franchisee must provide written notice to Coffee News of their intent to renew at least six months before the end of the current term or any renewal term.