If Benjamin Franklin Plumbing takes pre-termination actions, does this relieve the franchisee of their obligations?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
Prior to the termination of this Agreement, if you fail to pay any amounts owed to us or our affiliates or fail to comply with any term of this Agreement, then in addition to any right we may have to terminate this Agreement or to bring a claim for damages, we will have the right to take the actions set out below and continue them until you have cured the default to our satisfaction.
The taking of any of the actions permitted in this Section 16.6 will not suspend or release you from any obligation that would otherwise be owed to us or our affiliates under the terms of this Agreement.
We may:
16.6.1 Remove the listing of the Franchised Business from all advertising published or approved by us;
16.6.2 Prohibit you from attending any meetings or seminars held or sponsored by us or taking place on our premises;
16.6.3 Suspend access to the Call Center, the Franchisee Portal, and any technology systems we provide you access to, whether it is our technology or a third-party license; and/or
16.6.4 Suspend services provided to you by us or our affiliates under this Agreement, including but not limited to inspections, training, marketing assistance, and the sale of products and supplies.
Source: Item 23 — RECEIPTS (FDD pages 88–312)
What This Means (2025 FDD)
According to Benjamin Franklin Plumbing's 2025 Franchise Disclosure Document, if Benjamin Franklin Plumbing takes certain actions prior to terminating the agreement due to a franchisee's failure to pay or comply with the agreement, this does not relieve the franchisee of their obligations.
Specifically, Benjamin Franklin Plumbing has the right to take actions such as removing the franchise's listing from advertising, prohibiting attendance at meetings, suspending access to the call center and technology systems, and suspending services like inspections and training. These actions can be taken until the franchisee cures the default to Benjamin Franklin Plumbing's satisfaction.
The FDD clearly states that taking any of these actions will not suspend or release the franchisee from any obligation they owe to Benjamin Franklin Plumbing or its affiliates under the terms of the agreement. This means that even if Benjamin Franklin Plumbing restricts the franchisee's access or services, the franchisee is still responsible for fulfilling all financial and other contractual obligations.