In the event of a termination or transfer of a Bens Soft Pretzels franchise, what consideration is required from the franchisee for the franchisor's release of claims?
Bens_Soft_Pretzels Franchise · 2025 FDDAnswer from 2025 FDD Document
r | | | into this Release of Claims ("Agreement"). | |
RECITALS
- A. Franchisor and Franchisee entered into a Franchise Agreement dated _________________, ____.
- B. [NOTE: Describe the circumstances relating to the release.]
- C. Subject to and as addressed with greater specificity in the terms and conditions set forth below, Franchisor and Franchisee now desire to settle any and all disputes that may exist between them relating to the Franchise Agreement.
AGREEMENTS
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- Consideration. [NOTE: Describe the consideration paid.]
- 2-3. [NOTE: Detail other terms and conditions of the release.]
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- Release of Claims by Franchisor. [NOTE: Only included in the event of a termination or transfer.] Except as provided below and in consideration of, and only upon full payment of $__________ to Franchisor, and the other terms and conditions of this Agreement, the receipt and sufficiency of which is hereby acknowledged, Franchisor, for itself and for each of its affiliated corporations, subsidiaries, divisions, insurers, indemnitors, attorneys, successors, and assigns, together with all of its past and present directors, officers, employees, attorneys, agents, assigns and representatives does hereby release and forever discharge Franchisee and each of his heirs, executors, successors, and assigns of and from any and all actions, suits, proceedings, claims (includi
Source: Item 23 — RECEIPTS (FDD pages 47–191)
What This Means (2025 FDD)
According to Bens Soft Pretzels' 2025 Franchise Disclosure Document, the specific consideration required from the franchisee for the franchisor's release of claims in the event of a termination or transfer is not explicitly detailed. The FDD includes a section addressing the release of claims by the franchisor but notes that the specific dollar amount would be included in the blank space provided.
The document states that upon full payment of a specified amount to Bens Soft Pretzels Franchising Corporation and adherence to other terms and conditions, the franchisor will release the franchisee from any and all claims related to the Franchise Agreement. However, this release does not cover any post-termination obligations, such as indemnification, confidentiality, or covenants not to compete, nor does it release the franchisee from obligations under the agreement.
Prospective Bens Soft Pretzels franchisees should carefully review the Franchise Agreement and seek clarification from the franchisor regarding the specific amount of consideration required for the release of claims upon termination or transfer. Understanding these financial obligations is crucial for making an informed decision about investing in a Bens Soft Pretzels franchise.