After a merger or acquisition, can the acquired businesses operate under the Bens Soft Pretzels trademarks?
Bens_Soft_Pretzels Franchise · 2025 FDDAnswer from 2025 FDD Document
e regardless of where they reside or any other factor. We will not be required to pay you any compensation for any Mobile Stores that conduct business near your Store.
We and our affiliates retain all rights that are not expressly granted to you under this Agreement. Further, we and our affiliates may, among other things, on any terms and conditions we deem advisable, without compensation to any franchisee, and without granting you any rights therein:
- (i) establish and/or license others to establish franchised or company-owned or affiliate-owned Stores at any location, regardless of the proximity of such stores to your Designated Area;
- (ii) merge with, acquire or become associated with ("Merger/Acquisition Activity") any businesses or stores of any kind (including those in competition with BEN'S SOFT PRETZELS)
Source: Item 22 — CONTRACTS (FDD pages 46–47)
What This Means (2025 FDD)
According to the 2025 Bens Soft Pretzels Franchise Disclosure Document, Bens Soft Pretzels and its affiliates have broad rights regarding mergers and acquisitions. Specifically, Bens Soft Pretzels can merge with, acquire, or become associated with other businesses, even those that compete with it.
These acquired businesses can then operate under the Bens Soft Pretzels trademarks. This includes the ability to convert the acquired stores to Bens Soft Pretzels locations and offer similar menu items, products, and services. These acquired businesses can be located anywhere, without restriction.
This clause gives Bens Soft Pretzels significant flexibility to expand its brand through acquisitions and mergers, potentially increasing brand recognition and market share. However, it also means that a franchisee could face competition from businesses acquired by Bens Soft Pretzels that are operating under the same brand.