What section in Indiana handles franchise oversight for Benjamin Franklin Plumbing?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
INDIANA ADDENDUM TO THE FRANCHISE AGREEMENT
This Addendum relates to franchises sold in Indiana and is intended to comply with the Indiana statutes and regulations. The parties agree to supplement the Franchise Agreement as follows:
Pursuant to Section 23.2-2.7-1 of the Indiana Code, it is unlawful for any franchise agreement entered into between any franchisor and a franchisee who is either a resident of Indiana or a nonresident who will be operating a franchise in Indiana to contain any of the following provisions:
- (1) Requiring goods, supplies, inventories, or services to be purchased exclusively from the franchisor or sources designated by the franchisor where such goods, supplies, inventories, or services of comparable quality are available from sources other than those designated by the franchisor.
Source: Item 22 — CONTRACTS (FDD pages 87–88)
What This Means (2025 FDD)
According to Benjamin Franklin Plumbing's 2025 Franchise Disclosure Document, franchise sales in Indiana are subject to specific Indiana statutes and regulations. An Indiana Addendum to the Franchise Agreement is included to ensure compliance with Section 23.2-2.7-1 of the Indiana Code. This section addresses provisions within franchise agreements that might require franchisees to purchase goods, supplies, inventories, or services exclusively from the franchisor or its designated sources, especially when comparable quality items are available elsewhere.
This Indiana-specific addendum ensures that Benjamin Franklin Plumbing franchisees operating in Indiana are not unduly restricted in their purchasing choices. It aims to prevent situations where franchisees are forced to buy exclusively from the franchisor, even if they could obtain similar quality products from other suppliers at a better price. This protection is particularly relevant for Indiana residents or non-residents operating a franchise within the state.
In practical terms, this means that as a Benjamin Franklin Plumbing franchisee in Indiana, you have the right to source goods, supplies, inventories, or services from suppliers other than those designated by the franchisor, provided that the quality is comparable. This can potentially lead to cost savings and increased profitability for the franchisee, as they are not locked into using potentially more expensive or less favorable suppliers dictated by the franchisor. The Indiana Code section ensures a fairer business environment for franchisees within the state.