Is a Bens Soft Pretzels franchisee allowed to use the Internet to make sales?
Bens_Soft_Pretzels Franchise · 2025 FDDAnswer from 2025 FDD Document
You do not, however, have the right to use other channels of distribution, including the Internet, to make sales.
We retain all rights that are not expressly granted to you under the Franchise Agreement. The license granted to you under the Franchise Agreement does not include (i) any right to sell products and Menu Items at any location outside your Store, except for any catering or delivery services we permit, (ii) any right to sell products and Menu Items through any other channels or methods of distribution, including the Internet (or any other existing or future form of electronic commerce), (iii) any right to sell products and Menu Items to any person or entity for resale or further distribution, except as we may establish from time to time, or (iv) any right to exclude, control or impose conditions on our development of future franchised, company- or affiliate-owned Stores at any time or at any location regardless of the proximity to your Store.
In addition, we and our affiliates have the right to offer, sell or distribute any proprietary items or other products or services associated with the System (now or in the future) or identified by the Trademarks, or any other trademarks, service marks or trade names through any distribution channels or methods ("Alternative Methods of Distribution") including, without limitation, grocery stores, club stores, convenience stores, wholesale, business or industry locations (e.g. manufacturing site, office building), military installations, military commissaries or the Internet.
Source: Item 12 — TERRITORY (FDD pages 30–32)
What This Means (2025 FDD)
According to Bens Soft Pretzels' 2025 Franchise Disclosure Document, franchisees are generally restricted from using the internet to make sales. The franchise agreement does not grant franchisees the right to sell products through any other channels or methods of distribution, including the Internet. This restriction is in place to allow Bens Soft Pretzels and its affiliates to control and manage online sales and distribution channels independently.
This limitation means that a franchisee's primary sales focus must be on the physical store location. Bens Soft Pretzels retains the right to sell and distribute items through any distribution channels, including the internet, without compensating the franchisee. This includes the ability for Bens Soft Pretzels and its affiliates to sell items through various alternative methods of distribution, such as grocery stores, club stores, and convenience stores.
Bens Soft Pretzels also retains all rights not expressly granted to the franchisee, which includes the right to sell products through any other channels or methods of distribution, including the Internet. This allows Bens Soft Pretzels to explore and utilize different sales avenues without franchisee involvement, potentially impacting a franchisee's revenue if online sales draw customers away from physical stores. A franchisee may be permitted to offer catering and delivery services if authorized in writing by Bens Soft Pretzels.