Who bears the cost if Bens Soft Pretzels removes signage after a franchisee's refusal?
Bens_Soft_Pretzels Franchise · 2025 FDDAnswer from 2025 FDD Document
Upon the expiration or termination of the Lease, Landlord will cooperate with and assist Franchisor in gaining possession of the Premises and, if the Franchisor Entity does not elect to assume the Lease for the Premises consistent with subparagraphs 3(a) or 4(b) above, Landlord will allow Franchisor to enter the Premises, without being guilty of trespass and without incurring any liability to Landlord except for any damages caused by Franchisor's willful misconduct or gross negligence, to remove all signs and all other items identifying the Premises as a BEN'S SOFT PRETZELS Store and to make such other modifications (such as repainting) as are reasonably necessary to protect the BEN'S SOFT PRETZELS marks and system, and to distinguish the Premises from BEN'S SOFT PRETZELS Stores.
Source: Item 22 — CONTRACTS (FDD pages 46–47)
What This Means (2025 FDD)
According to the 2025 FDD, if a Bens Soft Pretzels franchisee's lease expires or terminates, the landlord will allow Bens Soft Pretzels to enter the premises to remove signage and make necessary modifications to protect their marks and system. The FDD states that Bens Soft Pretzels can do so without being guilty of trespass or incurring liability to the landlord, except for damages caused by willful misconduct or gross negligence.
This means that Bens Soft Pretzels has the right to remove signage to protect its brand identity and trademarks. This is a fairly standard practice in franchising, as franchisors need to maintain uniformity and prevent consumer confusion.
However, the FDD does not explicitly state who bears the cost of removing the signage in this scenario. It only specifies that Bens Soft Pretzels can enter the premises to remove signs and make modifications. A prospective franchisee should clarify with Bens Soft Pretzels who is responsible for covering these removal costs to fully understand the financial implications.