Norm's Beer and Wine Customers Fight Non-Compete Clause
Vienna shop could be evicted from its Branch Avenue location with the arrival of Fresh Market
Photos
It’s not over until we say it’s over.
That’s the "Animal House"-inspired motto of a group of area residents who are fighting to keep Norm’s Beer and Wine – an independent store that’s attracted legions of devotees since it opened in 1998 – in Vienna.
Norm Yow, the shop’s owner, said he was initially excited when he heard the national supermarket chain Fresh Market was going to open a location right next to his store at 136 Branch Ave. in Vienna. The lot had been vacant for two years, and Yow believed increased traffic to the strip mall would improve his already thriving business. His landlord, the Bethesda-based company Finmarc, even used the impending arrival of the gourmet chain store as justification to raise his rent at the end of 2008, he said.
But the anticipation turned to chagrin in mid-February, when Finmarc informed Yow that they’d offered Fresh Market, which intends to sell beer and wine, a non-compete clause that would force Norm’s out of the location its been in for 13 years.
“My lease ends at the end of 2013, but I was told that the agreement that was made with Fresh Market calls for me to be out of the shopping center by June 30, 2015,” Yow said. “But I want to stay right here.”
And so do Norm’s followers, who’ve set up a Save Norm’s Beer & Wine Facebook group that has attracted nearly 400 followers in less than a week. The group features photos of John Belushi, who delivered the infamous, “It’s not over until we say it’s over,” speech in the film "Animal House," and has comments from scores of area residents who want to see Norm’s stay put in Vienna. Members have written, called and emailed Fresh Market headquarters protesting the clause. Some group members said they'll boycott the store if it opens with the clause in place.
They've also set up a petition in the store. Signatures have been collected, scanned and emailed to Fresh Market "on a regular basis," supporter Rich Hubner wrote on the group's Facebook wall.
On Saturday, some of those customers were among those busy shopping at Norm’s. Yow and his seven employees seemed to know many by name, and several regulars noted the shop’s unique selection of craft beers, specialty foods and eclectic mix of wines – many from smaller vintners – would be impossible to find at national chain stores.
Bill Werning, a Vienna resident who has been shopping at Norm’s since it opened, likes to support independent businesses and thinks that unique shops like Norm’s are part of what makes Vienna a great place to live.
“Having independent shops is part of the quality of life here, because you get better service in places like this,” he said, hoisting a six pack of German mai-bock off the shelf. “Forcing them out is a horrendous idea – if they [Fresh Market] want to sell beer and wine, let them compete with anybody else.”
Another customer, Adam Kirk, said he’d been traveling to the store from Arlington on a regular basis since 2001 because of its unique selection and knowledgeable staff.
“It’s just a nice small shop, where you get real attention,” he said. “Political stances aside, it’s just another example of a big company coming in trying to push a small business out. You lose something when you lose unique places like this. Everything just becomes a mall.”
The still-sluggish economy may also be to blame for the situation. The large retail space next to Norm’s has been sitting empty for two years: Hancock Fabrics, Kettermann's Jewelers and Blockbuster were driven out of the plaza because of slow business (and bankruptcy), too. The non-compete clause could have been a Finmarc attempt to entice tenants in a quickly-emptying plaza.
But non-compete clauses appear to have been issues in other areas with incoming Fresh Markets, too: In 2008, the Greensboro, N.C.-based chain asked a local Christmas Tree stand in Gainesville, FL, to stop selling wreaths because it also sold them during the holidays.
Fresh Market did not return calls asking about the clause.
For his part, Yow feels like he’s formed a bond with his customers that he’d hate to lose. Prior to opening the store in ’98, he worked as a financial manager for defense contractors that specialized in naval programs, but doesn’t long to return to the coat and tie lifestyle.
“I don’t miss the 8 a.m. Monday morning meetings, or the traffic,” Yow said, noting he lives just four miles from the store. “I’m not really the kind of guy to wear a suit and sit in an office all day, so what we’ve built here suits me.”
He said he's optimistic about making a change in the contract.
“I spoke with someone from Fresh Market about three to four weeks ago and it was a good opening dialogue and he didn’t rule it out," Yow said. "And enough people have called or emailed their headquarters in Greensboro that we’ve gotten their attention.”
And his customers aren’t about to take the eviction notice lying down.
Kirk thinks that the Facebook campaign has the potential to make Fresh Market think twice about alienating potential customers with what he views as strong arm, anti-competitive tactics.
“It worked in the Middle East,” he said, referring to Facebook campaigns to bring down dictators in Tunisia and Egypt. “Why can’t it work in Vienna, too?”
Richard Plocica
6:01 pm on Monday, May 9, 2011
Gee how can the Fresh Market survive with all the competition from the Exxon on the same block selling beer and wine let alone the big Giant across the side street? Any interest in the Town protecting existing businesses from the holy chains?
Beau Dure
6:32 pm on Monday, May 9, 2011
Not that I sympathize with Fresh Market, which I think will have a tough fight with Whole Foods just up the street, but would Norm consider moving into the space recently vacated by Church Street Cellars?
Craig Dennison
7:09 am on Tuesday, May 10, 2011
Church Street will be a new upscale Mexican restaurant owned by Bazins. The new modern building at Glyndon still has a space available, but it's got about a 20% rent premium on where Norm's is now.
Laura Goyer
8:19 pm on Monday, May 9, 2011
If I were in Norm's and needed some groceries (quite likely!) I'd go onto Fresh Market instead of going over to Giant and having to park again.
If they force Norm out, I will NOT shop there. I will also continue to express the injustice of this situation to anyone who will listen to me.
This is Vienna Fresh Market, we don't like it when anyone tries to beat down the Mom and Pop's.
ECR
8:54 pm on Monday, May 9, 2011
Does this non-compete clause apply to Cenan's bakery too? Afterall they sell breads, cakes, pies, sandwiches and other specialty foods that might compete with Fresh Market. Does this mean that Cenan's will be forced out too?
Coach Jones
9:57 pm on Monday, May 9, 2011
Norm's is a house-hold name in Vienna. Right up there with the Vienna Inn. His name is on more cars and fridge's than any of our local politicians. Fresh Market needs to do it's homework. The history of buisnesses on Main St. that have been boycotted in the last 15 years is quite impressive. If Fresh Market wants to play hardball with our friends they will figure out the hard way. Vienna loves it's beer and loves to play ball.
Norm for President!
Craig Dennison
1:00 am on Wednesday, May 11, 2011
In regards to the Cenan's concern, the shopping center is actually two properties, one goes from Blockbuster to the Fresh Market, the other is from the dry cleaner to Aditi. Cenan's lease is with a different landlord.
People need to understand the economics of real estate. If Norm's was smart, he would have demanded a non-compete in the center back when he signed the lease. Non-compete's are pretty standard, especially with large tenants that spend and want to protect a huge amount of capital improvements. Norm's will find a new home by 2013 or 2015 and their loyal customers will follow. Don't blame Fresh Market.
Why do you think Giant doesn't have a pharmacy? Because CVS's lease says no other pharmacies allowed in that center.
As for the town protecting the mom and pop's, the market decides that. They couldn't stop Panera from coming. Let the town focus on things like adequate parking, aesthetics, and access. (ie the debacle at the Chipotle center and Michel Renee building in terms of access and parking)
Heather Barber
7:23 am on Tuesday, May 10, 2011
Laura is right...it is more likely that Norm's shoppers would be more likely to go into Fresh Market than over to Giant. If they force Norm out, they will be sealing their fate. Like Coach Jones says, Vienna residents are very good at boycotting - and they tend not to waiver. GO NORM!!!
Mike
9:04 am on Tuesday, May 10, 2011
BOYCOTT FRESH MARKET!!!
Mail:
628 Green Valley Road
Suite 500
Greensboro, NC 27408-7041
1-866-817-4367 or 336-389-5795
Jack Nelson
9:16 am on Tuesday, May 10, 2011
Add my name to the people who will boycott Fresh Market. And, I will not eat any of the food that my wife may bring home from Fresh Market should she disagree with my boycott. We used to think the Fresh Market in Cary, NC was the epitome of grocery stores, but no longer. When chains come into our town and try to force their agenda on our citizens, it is time to let the chains know we will not put up with this kind of behavior. The corporate officers of un-Fresh Market have some rethinking to do. One final note, I don't even drink wine.
Tom
9:20 am on Tuesday, May 10, 2011
I think it's pretty funny how all of the locals are so eager to grab the pitchforks and rally against the big bad Fresh Market when the article clearly points out that it was Norm's landlord who offered the non-compete: ".... when Finmarc informed Yao that they’d offered Fresh Market, which intends to sell beer and wine, a non-compete clause that would force Norm’s out of the location its been in for 13 years."
Hate all you want, but money talks and having a large vacant space in these times won't fly just to save little ole Norm's the inconvenience of finding a new location. You make them sound evil cause they are trying to do business. And please - don't compare Giant, Exxon, or even Whole Foods to this - not like they are right next door offering the same level of quality.
Jack Nelson
11:10 am on Tuesday, May 10, 2011
Tom has one good point. It was FINMARC who offered the non-compete clause. So, all those who oppose FINMARC's decision should not only contact Fresh Market but should contact FINMARC, also. Here is their address. telephone number and Mr. Solomon's email address:
Mr. Marc Solomon, Managing Director
Finmarc Management Inc.
4733 Bethesda Avenue
Bethesda, MD 20814-5228
Tel. 301-656-4111
email: msolomon@finmarc.com
Here is who to write at The Fresh Market requesting them to have FINMARC remove the non-compete clause from their contract:
Mr. Brett Berry, President, CEO
The Fresh Market
628 Green Valley Road
Suite 500
Greensboro, NC 27408-7041
email: brettberry@thefreshmarket.net
1-866-817-4367 or 336-389-5795
Being a free country all those who have the same opinion as Tom may write also.
Sushi
9:22 am on Tuesday, May 10, 2011
Who wrote the article???? hahaahahahah - looks to me like Mr. Lao's or Mr. Low's (whichever one is correct) lease is up in 2013, however he doesn't have to be out until 2015????? So......what's the problem?
Peter Geyer
11:58 am on Tuesday, May 10, 2011
If Fresh Market forces Norm's out, I will NEVER darken their doorstep. Stepping on beloved neighborhood institutions is NOT how a company builds a thriving business in a new market. Fresh Market should back down because they need customers. The landlord should back down because the people of Vienna will drive Fresh Market away, thus leaving them with a huge vacancy.
Chris
6:50 pm on Tuesday, May 10, 2011
Go join the Facebook page, Save Norm's Beer and Wine to show your support and track progress. Find it here: http://www.facebook.com/#!/pages/Save-Norms-Beer-and-Wine/112667965484636
Heather Barber
7:29 am on Wednesday, May 11, 2011
I don't quite get Tom's comment for two reasons...I am fairly certain that Finmarc did not come up with the "offer" on their own. It is possible that Fresh Market asked and Finmarc agreed - "offered" may not tell the whole story. Additionally, unless I am missing something (or misreading)...Giant, Whole Foods, and Exxon ARE all virtually next door - albeit, offering the same quality is arguable. I have never been to Fresh Market, so I won't speculate. Nevertheless, when it comes to beer and wine, I would bet my bottom dollar that Norm's is offering BETTER quality, and that may be the problem for Fresh Market.
Bryan
9:41 am on Wednesday, May 11, 2011
We have a couple Fresh Markets here in Richmond - and yes, Norm's selection is FAR better. I won't be shopping at FM any more unless this situation changes.
Heather Barber
7:31 am on Wednesday, May 11, 2011
@Sushi...the problem is that the lease won't be renewed when it's up. And Norm was planning to stay well beyond 2013 or even 2015. That's my take on it, at least.
Sushi
11:46 am on Wednesday, May 11, 2011
well I suppose that is the purpose of a "lease" the option is there to renew or not, for both parties.
Sushi
11:50 am on Wednesday, May 11, 2011
oh and I see the author of the article went back in and corrected and clarified what was originally written...good job.
Crystal
11:32 am on Wednesday, May 11, 2011
I too don't agree with Tom's comments. Having some history with commercial leases - it is more likely that the non-compete offer was a contingency of the lease for Fresh Market to take over the space.
I agree Fresh Market needs to do their research! Welcome to Northern Virginia where people's opinions matter. Word of mouth will make or break a business in Northern Virginia but even more so in a small town like Vienna. You don't want to open a business with bad blood between the township, and believe this - there is already bad blood. If this situation doesn't change the issue will only continue to get attention. And the more attention it gets the more bad blood it creates for Fresh Market. I wish them luck in their new space but they better make some changes before they arrive or business will suffer.
I've looked long and hard for specialty beer shops in this area and nothing can compare to Norm's. Don't get me wrong stores like Wholefoods and likely Fresh Market will have a variety to choose from but nothing compares to the selection at Norm's. If they don't have it at my local store I head to Norm's. I too will boycott just out of love for Norm's!
Behind you all the way!!!
Local patron
Bryan
1:14 pm on Wednesday, May 11, 2011
Unless their Vienna store is significantly different from every other one I've been in, their beer selection won't even compete with WF, much less Norms.
Nancy White
7:22 am on Thursday, May 12, 2011
Although the population is dense, Vienna still maintains a unique "small town" atmosphere and I hope we can use those bonds to stand in the way of letting big business push our well-loved small business owner out of business. Together we can make a difference!
mdicicco
10:34 pm on Tuesday, May 17, 2011
great comment! and in regards to other comments listed - most of the time, I prefer to give my business to small business - my beer and wine at Norm's, not Giant. Coffee at Cafe Amouri rather than Starbucks. Lunch at Maple Ave rather than Panera. I hope that more people give their business to small business - it's a big part of what makes Vienna truly special.
Crystal
11:11 am on Thursday, May 12, 2011
Whether it was FINMARC who offered the non-compete clause or Fresh Market that asked for it, shame on both of them for not researching their customer base. I agree with the other Crystal that now they have a PR nightmare on their hands and I wish them luck because I know I will not be a Fresh Market customer if this situation doesn't change.
WE LOVE NORM'S!!
Crystal
11:52 am on Thursday, May 12, 2011
Let's show them what we are talking about! Show up with your sign and picket their Career Open House!!
June 1, 2011 from 8:00 am to 1:00 pm and 2:00 pm to 7:00 pm Career Open House
Interested in working for The Fresh Market in Vienna?
Apply online today and join us for a Career Open House on June 1st from 8:00 am to 1:00 pm and 2:00 pm to 7:00 pm at The Crowne Plaza Tysons Corner: 1960 Chain Bridge Road, McLean, Virginia 22102.
http://www.thefreshmarket.com/stores/store_locationsDetail.aspx?StoreID=117
Mmmmm!
8:45 am on Friday, May 13, 2011
I was also looking forward to the TFM entering the competition in Vienna. Now, we find out that their anti-competitive tactics are nothing new for this company. Can you imagine the pettiness of a company that forces a small business owner to stop selling Christmas wreaths. Do we really want to shop at a place with that business mindset. If TFM can't compete fairly, then we have to wonder if we really want to shop there.
bobo
10:04 am on Friday, May 13, 2011
Really...protest....Really? Oh please, poor mom & pop - Norms is too expensive and Fresh Markets are nice stores that will meet many people's needs, probably with better prices than Norm's. FINMARC owns the building and has some rights - if you owned it, would you want to attract a place like Fresh Market or just have it sit vacant for another 2 years? These 'small town' advocates need to get a life - Vienna is NOT a small town. Can't you find a better cause (e.g. saving animals, childrens rights) to protest and petition about. You're standing up for a liquor store? Norm is perfectly able to lease/buy another suitable location in Vienna.
Mmmmm!
11:17 am on Tuesday, May 17, 2011
The cost is not the point. The point is unfair business practices. If Norm's cannot compete on price, the market will decide. Norm's survived for a long time so there is more to this than prices. If the Fresh Market had an ounce of marketing and busness sense, they would let their service and prices dictate the outcome, not unfair business practices. That's the good old American Way.
Laura Goyer
11:09 am on Friday, May 13, 2011
Do your research, Norm's prices are very competitive.
People are not just upset over a liquor store, it is the larger concern about pushing a smaller business out, when in reality there is plenty of business to go around. These businesses could have easily coexisted peacefully in my opinion. Yeah thats right, my opinion, one that actually has my name attached to it!
Jack Nelson
1:22 pm on Friday, May 13, 2011
Hello, BooBoo, or whatever your name is. We are trying to maintain a small town environment where the small guy has the same rights as the big guy. That’s what makes a town a town. Vienna is a town, not a city. We don’t want big stores pushing out the little stores because soon we would look like the Route 1 corridor. And, FENMARC would not let that property stand vacant and I seriously doubt if Un-Fresh Market - which sells many more products than beer and wine; Norm's prime business IS beer and wine - would let the no competition clause keep it out of Vienna. As Ms. Goyer states it is not about beer and wine; it is about being a good neighbor. Norm's has been at the same location for years and it wants to stay at the same location. Un-Fresh Market is coming into our community and immediately wants to upset the small town atmosphere. Chances are Norm's business would be greatly hurt if it had to find another location. And, how do you know that "Norm is perfectly capable to lease/buy another suitable location in Vienna"? Have you talked with Norm lately? And while you are mulling over your reply to my comments, look up the word "liquor." The only liquor store in town is the ABC Store, which is operated by the State of Virginia. BooBoo, it is YOU who has a need to get a life, a life that cares about others - not the other way around. A Shakespearean aside: Maybe BooBoo is a key employee of Un-Fresh Market or FENMARC. That would explain the pseudonym.
Heather Barber
3:57 pm on Friday, May 13, 2011
I was going to respond to bobo, but Laura and Jack beat me to it...and did a fabulous job speaking for me, by the way. :) I would, however, like to address bobo's assertion that Finmarc owns the building...IT DOESN'T. Read below the excerpt from Norm's personal message posted on Save Norm's Beer and Wine Facebook page.....
"I'm not really sure where the non-compete originated. From speaking with one of the owners a couple of times, I've gotten the impression it was not something they were happy about doing, but the new tenant is the 800lb gorilla on the block. That gives me the impression that the idea came from Greensboro. Also, Finmarc is the property manager, not the owner. I don't know how much of a role they play in lease negotiations. There's a company called StreetSense that handled the lease inquiries into the open spaces in the shopping center, so they might have handled the negotiations. At this point, we believe the only party that can change the agreement is The Fresh Market."
son of bobo
4:54 pm on Friday, May 13, 2011
Must’ve touched a nerve – got ya’ll in a huffy. Does Norms really help w/ the small town “feel” whatever that means? The dozens of strip malls, traffic & tear downs don't give me the same feel! Norm should’ve read the terms of his lease agmt., plain and simple. Isn’t this a free market? Is Norms being forced out of business? Why can’t he relocate, exactly? If u r so faithful and adamant, surely you'll trek another mile or so out of your way to support Norm or maybe take up a collection to help him lease/buy a place elsewhere. It’s so easy to demonize the big chains/box stores, but there are some benefits (jobs, revenue, more choices) - bet you shop at them, too. Sometimes new small businesses that are able to specialize do crop up (e.g. Stalcups, Church St Cellars, etc.). ABC v. beer/wine store (semantics) -point is there are bigger/more important things to stand-up for IMHO than another beer/wine store just cuz' Norm's a nice guy. Who cares who own's the bldg. are they operating within their legal rights? I priced Norms wines and used to get the same bottle of wine for $2/bottle cheaper @ other stores - that's why I stopped buying from Norm & will likely keep buying my beer/wine from grocery stores including FM! Some of us want more choices in Vienna and accept progress/reality.
Beau Dure
5:36 pm on Friday, May 13, 2011
Church Street Cellars has gone out of business.
I don't think this is about chain stores per se or progress/reality. I'm looking forward to Panera opening, though I'm worried about the parking/traffic situation. But you can't really begrudge people upset over the forced move or shutdown of a local store that's otherwise thriving.
Imagine if someone opened a bar and grill on Maple Avenue and somehow finagled a way to force Vienna Inn to shut down.
Mmmmm!
11:24 am on Tuesday, May 17, 2011
Son BoBo, you are out of touch, the Church Street Cellar location is already committed for another restaurant and there are not really any other convenient places for Norm's to locate. Why woould anybody get into this discussion that is in favor of unfair business practices? Are you a Fresh market plant?
Mike
10:34 pm on Wednesday, May 25, 2011
Son of BOBO - legal rights, really? Putting in anti-competitive clauses to run out competition. If you support free market, you would agree that FM would come in a compete like everyone else. Just because Norm's a small scale business, what FM is doing through it's lease terms is nothing different than what the Rockefellers did ( as fought by Ida May Tarbell) at the the turn of the 20th century to lock out competition through transportation leases that forced higher transportation costs on their competitors. FM can just go away. It's not like they are going to drop food prices in town anyway. And yes, protesting unfair business practices is something worth fighting.
Steven Clem
11:09 pm on Friday, May 13, 2011
To MR or Mrs Or Ms Boo Hoo . I'm guessing either work for Un Fresh or a company like that because if you lived in Vienna you wouldn't be saying or acting the way you are on this matter. If you do live in Vienna I can see why you didn't use your real name because you don't want your neighbors to see how you really are. If you need a lesson on small town feelings and how a community stands together come to the Town Green next Thursday May 19th from 6-10 for KYLLOPALOOZA and learn how we watch out and take care of our own. We may feel like a small town but we are big in numbers and together can spread the word not to shop at Un Fresh. We were here first and will be here after it closes from lack of support. So I say to you if you don't like a small town then leave. Sincerely, Steve Clem. P. S. Have a nice day!!! but somewhere else.
ian mccommons
10:59 am on Saturday, May 14, 2011
I do mind, the Dude minds. This will not stand, ya know, this aggression will not stand, man.
Mmmmm!
11:12 am on Tuesday, May 17, 2011
I have sent the following letter to Fresh Market:
"You are building a new store in Vienna, VA which we were looking forward to doing some of our shopping since we had seen good reviews of your Company. However, we have changed our minds. You have entered into a lease at the Vienna location with a so-called anticompetitive clause which will cause Norm's Beer and Wine, a long-time favorite local proprietor, to move to another location or worse yet it could cause this local business to go out of business. A large Company like the Fresh Market should not cause small local proprietors to be in this position. Your anti-competitive practices are nothing new we find for your Company. You've done this before. However, you are in a different business climate in Vienna, VA where we do not patronize greedy Companies who are afraid of fair competition. You are not worthy of our potentially considerable business and I can assure that no one I know will patronize your store either. We have worthy alternatives, such as Whole Foods, who do not use unfair business practices to drive out competition by a small business that probably doesn’t compete with your main product lines anyway."
mdicicco
10:23 pm on Tuesday, May 17, 2011
I've been fascinated at all of the comments regarding Norm's. We shop there and appreciate the great selection and knowledge that we get at the store. I'm amused by comments that indicate that Norm has plenty of time to move and what's the big deal? Moving a business is expensive and finding space - in Vienna in particular - can be a nightmare. Case in point - yes Church St Cellars moved out - from space whose rent is 20% higher than what Norm's pays. Yes, I can appreciate that FINMARC legally has the right to do what they want w/their center. However, whatever happened to loyalty and customer service. I'm sure that they were happy to have Norm's as a long term lease holder when That's Amore and Joanne Fabrics closed. But instead of working to keep a long-term tenant while securing a new one, they turned their back on him.
MAL
2:30 pm on Thursday, May 26, 2011
WELL SAID!
Keith Conway
1:12 am on Tuesday, November 8, 2011
Keith Conway
3:39pm on Sunday, May 29, 2011
I agree with the article regarding "Norm"s" beverage; "Norm's is an integral part of the Vienna community and has been for many years".. (Fresh Market).
It is a business that has remained loyal and supportive to local theater for both Wolf Trap and local high school theater for many years.
Without giving it a second thought Norm Yow has displayed posters for every play and musical that GC Marshall HS has produced over the last 4 years, this as well as posters for other local performances in the arts, such as Wolf Trap's 2008 summer performances of Les Miserables.
Les Miserables included talented performers from area high schools including GC Marshall & George Mason, with the musical's original Broadway cast.
Norm Yow has always done this for free and just smiling, usually says, " Of course, I like theater".
Norm Yow's willingness to share valuable window space for these events makes his store a team player in the Vienna community.
Sincerely,
Keith Conway,
Vienna Virginia