PJ's Coffee of New Orleans

What are the specific details of the 2 pending litigation cases against the franchisor, and what is the expected timeline for resolution?

Why did transfer activity increase dramatically from 1 unit in 2023 to 18 units in 2024? Were these owner-initiated sales or franchisor-facilitated transitions?

Can you provide the unit-level details for the 7 closures in each year (2022-2024) and explain whether these were underperforming locations or due to other factors?

The non-compete radius of 50 miles is twice the typical range for this category. How was this distance determined, and has it been enforced against former franchisees?

Given the total potential term of 40 years (4 renewal periods), what conditions or performance metrics must franchisees meet to qualify for each renewal?

Renewal fees are listed as $0. Are there other costs associated with renewing the franchise at the end of each 10-year term?

The franchise fee of $30,000 is below the category average. Does this lower fee correlate with reduced franchisor support or training compared to competitors?

Median gross sales of $533,705 is below the category range. What percentage of franchisees achieve profitability, and what is the average unit volume (AUV) after accounting for cost of goods and operating expenses?

Can you clarify the difference between the 7 units listed as 'Ceased Other' in each year and the separately reported closed units? What causes units to fall into the 'Ceased Other' category?

The franchise agreement includes 6 non-curable defaults that allow immediate termination. Can you provide specific examples of these non-curable defaults and how they have been applied historically?

Personal guaranty agreements are required for individuals with 15%+ voting power. Are there any circumstances under which this personal guarantee can be released or modified?

All disputes must go to binding arbitration with waiver of jury trial rights. In the 2 pending cases, are both disputes being arbitrated, or were any filed in court before the arbitration clause was enforced?

Late payment interest is prime rate plus 2.5%. What has been the average late payment rate among franchisees, and how frequently does the franchisor enforce this interest charge?

Territory is protected but not exclusive—what does 'protected' specifically mean in practice, and can the franchisor open company-owned locations or additional franchises within 50 miles?

The transfer rate of 9.9% is the highest metric among outliers. What percentage of these transfers were to approved franchisee-selected buyers versus franchisor-directed sales?

You mention no minimum performance standards are required. Are there any de facto expectations regarding sales volume, customer traffic, or operational metrics?

The 2-year non-compete extends to 'within 20 miles of any other PJ's Coffee location.' As the system grows, could this effectively prevent a former franchisee from operating in their region?

What support and training changes have occurred in the past 3 years that might explain the high transfer rate in 2024?

Are the 2 pending litigation cases related to the non-compete enforcement, termination disputes, or other franchise agreement issues?