What are the 'Mobile Store Policies' for Bens Soft Pretzels, and who establishes them?
Bens_Soft_Pretzels Franchise · 2025 FDDAnswer from 2025 FDD Document
Finally, we may operate or license others the right to operate a Mobile Store business that offers the same or different Menu Items than you offer at your Store under the Trademarks or any other marks (a "Mobile Store Business"). The Mobile Store Business may offer and sell products at more than a location within a Designated Area as further noted in the Mobile Store Addendum attached as a schedule to this Agreement, although we will establish other operational guidelines in the Manuals which define minimal boundaries and related procedures regarding a Mobile Store
Business. You only have the right to operate a Mobile Store Business if we license that right to you and you and we sign a Mobile Store Addendum in addition to this Agreement.
Source: Item 22 — CONTRACTS (FDD pages 46–47)
What This Means (2025 FDD)
According to the 2025 Bens Soft Pretzels Franchise Disclosure Document, the franchisor may operate or license others to operate a Mobile Store business that offers the same or different menu items than a franchisee's store. These Mobile Stores operate under the Bens Soft Pretzels trademarks or other marks. While Mobile Stores may operate in a Designated Area, Bens Soft Pretzels will establish operational guidelines in the manuals that define minimal boundaries and related procedures for Mobile Store Businesses. A franchisee only has the right to operate a Mobile Store Business if Bens Soft Pretzels licenses that right to them, and both parties sign a Mobile Store Addendum in addition to the Franchise Agreement.
Bens Soft Pretzels retains significant rights regarding Mobile Stores. They are not required to compensate a franchisee for any Mobile Stores that conduct business near their store. Bens Soft Pretzels can establish franchised, company-owned, or affiliate-owned stores at any location, regardless of proximity to a franchisee's Designated Area. They can also merge with or acquire other businesses, even those in competition with Bens Soft Pretzels, and these businesses may operate under the Bens Soft Pretzels trademarks. Additionally, Bens Soft Pretzels can sell and distribute menu items through various methods of distribution, including through franchised businesses, under different marks.
For a prospective franchisee, this means that while a traditional Bens Soft Pretzels store offers a defined location, the franchisor retains considerable flexibility in establishing Mobile Stores, potentially impacting a franchisee's business. The franchisee's rights to operate a Mobile Store are contingent on obtaining a separate license and signing a Mobile Store Addendum. The franchisor establishes the operational guidelines for Mobile Stores in their manuals, which define the boundaries and procedures for these businesses. This arrangement highlights the importance of carefully reviewing the Mobile Store Addendum and understanding the operational guidelines outlined in the manuals to fully grasp the potential impact and opportunities associated with Mobile Stores.