What is the definition of 'encumbrance' in the context of a Bens Soft Pretzels franchise agreement?
Bens_Soft_Pretzels Franchise · 2025 FDDAnswer from 2025 FDD Document
In consideration of the foregoing and the mutual covenants and consideration below, you and we agree as follows:
DEFINITIONS
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- For purposes of this Agreement, the terms below have the following definitions:
- A. "Gross Sales" means all sales or revenues, derived directly or indirectly from the Store, including on-premises sales and monies derived at or away from the Store, whether from cash, check, credit and debit card, trade credit or credit transactions, including business interruption insurance proceeds and service charges in lieu of gratuity, but excluding (i) sales taxes collected from customers and paid to the appropriate taxing authority and (ii) the amount of all coupons redeemed at the Store.
- B. "Manual" or "Operations Manual" means any collection of written, video, audio and/or software media (including materials distributed electronically), regardless of title and consisting of various subparts and separate components, all of which we or our agents produce and which contain specifications, standards, policies, procedures and recommendations for your BEN'S SOFT PRETZELS Store, all of which we may change from time to time.
- C. "Menu Items" means the pretzels, pretzel pockets, soft drinks and all other food and beverage products prepared according to our specified recipes and procedures, as we may modify and change from time to time.
Source: Item 22 — CONTRACTS (FDD pages 46–47)
What This Means (2025 FDD)
I am unable to provide a definition of "encumbrance" within the context of the Bens Soft Pretzels franchise agreement, according to the 2025 Franchise Disclosure Document. While the document includes the full Franchise Agreement and definitions of other key terms such as "Gross Sales", "Manual" or "Operations Manual", and "Menu Items", it does not define "encumbrance." A prospective franchisee should ask Bens Soft Pretzels for the specific definition used in their franchise agreement to fully understand their contractual obligations and any potential restrictions or liabilities related to the franchise. Understanding this term is crucial for assessing the financial and legal implications of the franchise agreement.