During the term of the
Marble_Slab_Creamery Franchise · 2025 FDDAnswer from 2025 FDD Document
2.1 Except as otherwise provided herein and subject to Section 13, the term ("Term") of this Agreement will commence on the Effective Date and expire 15 years from the Effective Date.
2.2 Subject to the conditions contained in Section 2.3, at the expiration of the Term, Franchisee shall have the right (the "Renewal Right") to enter into a new franchise agreement in the form then generally being offered to prospective "MARBLE SLAB CREAMERY" franchisees (the "Renewal Franchise Agreement") for a period equal to the First Renewal Term, which Renewal Franchise Agreement shall likewise grant Franchisee the right to enter into one additional Renewal Franchise Agreement for a period equal to the Second Renewal Term. Franchisee acknowledges that the weekly royalty fee and advertising fund contributions payable thereunder shall be at the rates then applicable to new franchisees. The term of each Renewal Franchise Agreement shall commence upon the date of expiration of the Term hereof or the expiration of the First Renewal Term, as applicable; provided, however, that each Renewal Franchise Agreement shall (i) be modified to conform to the Renewal Rights granted above; and (ii) provide that Franchisee must pay, in lieu of the Initial Fee, a renewal fee in an amount equal to forty percent (40%) of the then-current Initial Fee charged to new Marble Slab Creamery franchisees.
2.3 Franchisee's Renewal Right is conditioned upon Franchisee's fulfillment of each and all of the following conditions precedent:
2.3.1 Franchisee will give Franchisor written notice (the "Renewal Notice") of Franchisee's election to renew not less than 6 months nor more than 12 months before the end of the initial term or any subsequent renewal term;
2.3.2 Franchisee will make or provide for, in a manner satisfactory to Franchisor, such renovation and modernization of the Restaurant premises as Franchisor may reasonably require, including, without limitation, renovation of signs, furnishings, fixtures, and decor, to reflect the thencurrent standards and image of the System; but that such renovation and modernization will not be required if Franchisee has refurbished the Restaurant, in accordance with the provisions of Section 5.21 hereof, within the 5 years immediately preceding the end of the applicable renewal term;
2.3.3 Franchisee will not be in material default of any provision of this Agreement, any amendment hereof or successor hereto, or any other agreement between Franchisee and Franchisor or its Affiliates; and Franchisee will have substantially complied with all the terms and conditions of such agreements during the terms thereof;
2.3.4 Franchisee will have satisfied all monetary obligations owed by Franchisee to Franchisor and its Affiliates and will have timely met those obligations throughout the term of this Agreement;
2.3.5 Franchisee will present satisfactory evidence that Franchisee has the right to remain in possession of the Accepted Location for the duration of the renewal term or, in the alternative, has prior to the expiration of the Term obtained Franchisor's approval of a new location and lease for the Restaurant which approval Franchisor may grant or withhold in its sole discretion**;**
2.3.6 Franchisee will execute a general release, in a form prescribed by Franchisor, of any and all known and unknown claims against Franchisor and its Affiliates, and their respective officers, directors, shareholders, agents, and employees in their corporate and individual capacities; and
2.3.7 Franchisee will comply with Franchisor's then-current qualification and training requirements.
2.4 If Applicable Law requires that Franchisor give notice to Franchisee prior to the expiration of the Term, this Agreement shall remain in effect on a week to week basis until Franchisor has given the notice required by such Applicable Law.
If Franchisor is not offering new franchises, is in the process of revising, amending or renewing its form of franchise agreement or franchise disclosure document, or is not lawfully able to offer Franchisee its then-current form of franchise agreement, at the time Franchisee delivers its Renewal Notice, Franchisor may, in its discretion, (i) offer to renew this Agreement upon the same terms set forth herein for a renewal term determined in
accordance with Section 2.3, or (ii) offer to extend the Term hereof on a week to week basis following the expiration of the Term hereof for as long as it deems necessary or appropriate so that it may lawfully offer its then-current form of franchise agreement.
2.5 Notwithstanding the foregoing, if Franchisee operates a Non-Traditional Co-Brand Restaurant, the length of Franchisee's Term and successor term under the Renewal Right will correspond to the initial terms and successor terms of the franchise agreements of Franchisee's Co-Brand Licensors. If Franchisee operates a Traditional Store, the Term will be as set forth above.
Source: Item 22 — CONTRACTS (FDD page 101)
What This Means (2025 FDD)
According to the 2025 Marble Slab Creamery FDD, the initial term of the franchise agreement is 15 years, commencing on the effective date. Franchisees have the right to renew their franchise agreement at the expiration of the term, subject to certain conditions. The new franchise agreement will be in the form then generally being offered to prospective Marble Slab Creamery franchisees for a period equal to the First Renewal Term, which Renewal Franchise Agreement shall likewise grant Franchisee the right to enter into one additional Renewal Franchise Agreement for a period equal to the Second Renewal Term. Franchisees acknowledge that the weekly royalty fee and advertising fund contributions payable thereunder shall be at the rates then applicable to new franchisees. The term of each Renewal Franchise Agreement shall commence upon the date of expiration of the Term hereof or the expiration of the First Renewal Term, as applicable.
To exercise the renewal right, franchisees must provide written notice to Marble Slab Creamery not less than 6 months nor more than 12 months before the end of the current term. Franchisees must also renovate and modernize the restaurant premises to reflect the then-current standards of the Marble Slab Creamery system, unless they have already refurbished the restaurant within the 5 years immediately preceding the renewal term.
Additionally, franchisees must not be in material default of any agreement with Marble Slab Creamery or its affiliates, and must have substantially complied with all terms and conditions of such agreements. All monetary obligations owed to Marble Slab Creamery and its affiliates must be satisfied, and franchisees must present evidence that they have the right to remain in possession of the location for the renewal term. Finally, franchisees must execute a general release of all claims against Marble Slab Creamery and comply with the then-current qualification and training requirements. The renewal fee is forty percent (40%) of the then-current Initial Fee charged to new Marble Slab Creamery franchisees.
For franchisees operating a Non-Traditional Co-Brand Restaurant, the length of the term and any successor term will correspond to the terms of the franchise agreements with their Co-Brand Licensors. If Marble Slab Creamery is not offering new franchises, is revising its franchise agreement or disclosure document, or is unable to offer its current form of agreement at the time of renewal, it may offer to renew the agreement on the same terms or extend the term on a week-to-week basis until it can lawfully offer the current agreement.