What is the penalty for the first territory infringement violation for a Benjamin Franklin Plumbing franchise?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
Any violation of our policies on out-of-Territory sales and services is a material breach of this Agreement.
In addition, if the violation is infringement on a territory that has been assigned to another Franchised Business, we may charge you our then-current Territory Infringement Fee, as described in the Brand Appendix. "Territory infringement" occurs when you generate Gross Revenue from a customer by receiving payment for products and/or services provided and/or rendered within the territory of another Franchised Business without first obtaining that franchisee's written permission.
Source: Item 23 — RECEIPTS (FDD pages 88–312)
What This Means (2025 FDD)
The 2025 Benjamin Franklin Plumbing Franchise Disclosure Document (FDD) addresses territory infringement. According to the FDD, territory infringement occurs when a franchisee generates gross revenue from a customer by receiving payment for products or services provided within another franchisee's territory without obtaining prior written permission.
If a Benjamin Franklin Plumbing franchisee violates the policies on out-of-territory sales and services, it constitutes a material breach of the Franchise Agreement. In the event of territory infringement, Benjamin Franklin Plumbing may charge the franchisee their then-current Territory Infringement Fee, as described in the Brand Appendix.
However, the specific amount of the Territory Infringement Fee is not specified in the provided excerpts from the 2025 FDD. A prospective franchisee should consult the Brand Appendix of the FDD or ask the franchisor directly to understand the exact fee structure and potential penalties for territory infringement.