Can the Arbitrator modify the terms of the Benjamin Franklin Plumbing Franchise Agreement?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
- 23.2.6 The Arbitrator will not have the authority to add to, delete, or modify the terms of this Agreement.
Source: Item 23 — RECEIPTS (FDD pages 88–312)
What This Means (2025 FDD)
According to the 2025 Benjamin Franklin Plumbing Franchise Disclosure Document, in the event of a dispute requiring resolution through arbitration, the arbitrator is explicitly prohibited from altering the terms of the Franchise Agreement.
Specifically, the document states that the arbitrator does not have the authority to add to, delete, or modify the terms of the agreement. This means that the arbitrator's role is limited to interpreting and applying the existing terms of the franchise agreement, rather than rewriting or changing them.
This limitation ensures that the original agreement between Benjamin Franklin Plumbing and the franchisee remains intact and enforceable, providing a level of predictability and stability for both parties. Franchisees can be confident that the core terms of their agreement will not be subject to alteration by an arbitrator, while Benjamin Franklin Plumbing can maintain consistency across its franchise network.
This is a fairly standard clause in franchise agreements, as franchisors generally want to maintain uniformity and control over their franchise system. However, prospective franchisees should carefully review the entire dispute resolution section to understand the full scope of the arbitration process and its limitations.