Does the Bens Soft Pretzels Addendum impose any obligations on the franchisee?
Bens_Soft_Pretzels Franchise · 2025 FDDAnswer from 2025 FDD Document
| This Captive Venue Addendum ("Addendum") dated this day of, , is entered into by and between Ben's Soft Pretzels Franchising Corporation, an Indiana | |
|---|---|
| corporation ("Franchisor") and ("Franchisee"). | |
| WITNESSETH | |
| A. | The parties have entered a Franchise Agreement, dated, 20, relating to the |
| development and operation of a BEN'S SOFT PRETZELS store at the following captive market | |
| location: | |
| (the | |
| "Authorized | |
| Location") | |
| B. | The parties desire to amend the Agreement in accordance with the terms and conditions |
| contained in this Addendum in order to reflect changes to the Agreement to take into | |
| account the captive venue nature of the Authorized Location. | |
| AGREEMENT | |
| Franchisor and Franchisee agree that the Agreement is hereby modified, as follows: | |
| 1. | Rights Granted. Franchisor hereby agrees to grant to Franchisee the right to operate one |
| Store at the Authorized Location. Franchisee acknowledges and agrees that Franchisee | |
| will have no exclusive or protected territory or area of any kind and Franchisee's Store is | |
| be prohibited from selling outside of the Authorized Location. | |
| 2. Commencement Date. The commencement date of operations of the Mobile Store shall | |
| be the date that Franchisor authorizes in writing ("Commencement Date") that the Mobile | |
| Store is ready for operation and Franchisee has satisfied all other requirements that | |
| Franchisor has established in writing. | |
| 3. Additional Changes. Franchisee and Franchisor agree to the following changes, | |
| (including any changes required by the Venue Operating Partner): | |
| a. | |
| b | |
| c. | |
| 4. | |
| Miscellaneous. Unless otherwise stated in this Addendum, all of the terms and conditions |
Source: Item 22 — CONTRACTS (FDD pages 46–47)
What This Means (2025 FDD)
According to the 2025 Bens Soft Pretzels FDD, the Captive Venue Addendum does impose obligations on the franchisee. The addendum modifies the existing Franchise Agreement to account for the unique aspects of operating within a captive venue.
Specifically, the franchisee is granted the right to operate one Bens Soft Pretzels store at the "Authorized Location" as defined in the addendum. However, the franchisee acknowledges and agrees that they will not have any exclusive or protected territory and are prohibited from selling outside of the Authorized Location. This means the franchisee's sales are restricted to the captive venue, impacting their potential customer base and revenue streams.
Additionally, the commencement date of operations for the Mobile Store is contingent upon written authorization from Bens Soft Pretzels and the franchisee fulfilling all other requirements established by the franchisor in writing. The franchisee also agrees to any additional changes required by the Venue Operating Partner, indicating that the franchisee must comply with the rules and regulations set by the venue operator, which could include operational changes or restrictions. Unless otherwise stated in the Addendum, all of the terms and conditions of the Franchise Agreement apply to the Captive Venue Addendum.