factual

If the Bens Soft Pretzels franchisee is more than one individual, are they jointly and severally liable?

Bens_Soft_Pretzels Franchise · 2025 FDD

Answer from 2025 FDD Document

  • E.

References.

If the franchisee is 2 or more individuals, the individuals are jointly and severally liable, and references to you in this Agreement includes all of the individuals.

Source: Item 22 — CONTRACTS (FDD pages 46–47)

What This Means (2025 FDD)

According to the 2025 Bens Soft Pretzels Franchise Disclosure Document, if the franchisee consists of two or more individuals, they will be held jointly and severally liable under the Franchise Agreement. This means that each individual is fully responsible for all obligations and liabilities arising from the agreement.

In practical terms, this has significant implications for prospective franchisees. If one individual fails to meet their obligations (e.g., payment of fees, adherence to operational standards), the other individual(s) can be held fully accountable for the entire amount or the entirety of the non-compliance. Bens Soft Pretzels can pursue any or all of the individuals to ensure compliance with the agreement.

This clause protects Bens Soft Pretzels by ensuring that there are multiple avenues for recourse in case of a breach of contract. However, it also creates a significant risk for individual franchisees who are part of a multi-person franchise, as they could be held liable for the actions or inactions of their co-franchisees. Therefore, it is crucial for individuals entering into a Bens Soft Pretzels franchise with partners to have a clear understanding of their respective responsibilities and a strong level of trust in each other.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.