If Bens Soft Pretzels demands it after termination, what must the franchisee do with the store lease?
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)
The 2025 Bens Soft Pretzels Franchise Disclosure Document outlines the responsibilities of the landlord and franchisor, Bens Soft Pretzels, upon the expiration or termination of a lease. Specifically, the landlord is obligated to cooperate with and assist Bens Soft Pretzels in taking possession of the premises. If Bens Soft Pretzels chooses not to assume the lease, the landlord must allow Bens Soft Pretzels to enter the premises to remove signs and other items identifying it as a Bens Soft Pretzels store. Bens Soft Pretzels is also allowed to make modifications, such as repainting, to protect its marks and system and to differentiate the location from Bens Soft Pretzels stores.
This arrangement ensures that even after a franchise agreement ends, Bens Soft Pretzels retains control over its brand image and intellectual property. It prevents a former franchisee from continuing to operate under the Bens Soft Pretzels name or using its branding. The franchisee is not explicitly mentioned in this section, but the implication is that the franchisee must relinquish the premises and allow Bens Soft Pretzels to undertake these actions.
It's important to note that while Bens Soft Pretzels has the right to enter the premises for these purposes, it is liable for any damages caused by its willful misconduct or gross negligence during the process. This provision balances the franchisor's need to protect its brand with the landlord's property rights. The FDD does not explicitly state what the franchisee must do with the store lease, but it is implied that the franchisee must vacate the premises.