For Bens Soft Pretzels, what is the relationship between the Rider and the jurisdictional requirements of the Applicable Franchise Registration State?
Bens_Soft_Pretzels Franchise · 2025 FDDAnswer from 2025 FDD Document
| This Rider to State Addendum to BEN'S SOFT PRETZELS ® Franchise Disclosure Document and Franchise Agreement is entered into by and between Ben's Soft Pretzels Franchising Corporation, 1119 S. Indiana Avenue, Goshen, Indiana 46526 ("we" or "us") and ("you"). |
|---|
| A. |
| This Rider is being signed because you are a resident of one of the states listed in |
| the heading of this Rider (the "Applicable Franchise Registration State") or a non-resident who is |
| acquiring franchise rights permitting the location of one or more BEN'S SOFT PRETZELS ® |
| businesses in the Applicable Franchise Registration State. |
| B. |
| We and you have contemporaneously herewith entered into a Franchise |
| Agreement (the "Agreement") and wish to amend the Agreement as provided herein. |
| NOW, THEREFORE, for and in consideration of good and valuable consideration, the |
| receipt and sufficiency of which are hereby acknowledged, the Agreement is hereby amended as |
| follows: |
| 1. |
| The following language is hereby added to the end of the Agreement: "No |
| statement, questionnaire, or acknowledgment signed or agreed to by a franchisee in connection |
| with the commencement of the franchise relationship shall have the effect of (i) waiving any |
| claims under any applicable state franchise law, including fraud in the inducement, or (ii) |
| disclaiming reliance on any statement made by any franchisor, franchise seller, or other person |
| acting on behalf of the franchisor. This provision supersedes any other term of any document |
| executed in connection with the franchise." |
| 2. |
| Except as provided in this Rider, the Agreement remains in full force and effect in |
| accordance with its terms. This Rider shall be effective only to the extent that the jurisdictional |
| requirements of the franchise law of the Applicable Franchise Registration State are met |
| independently without reference to this Rider. |
| YOU: |
| WE: |
| BEN'S SOFT PRETZELS |
| FRANCHISING CORPORATION |
| By |
| By |
| Title |
| Title |
Source: Item 22 — CONTRACTS (FDD pages 46–47)
What This Means (2025 FDD)
According to the 2025 Bens Soft Pretzels Franchise Disclosure Document, the Rider to State Addendum is designed to amend the Franchise Agreement to comply with the specific franchise laws of the state where the franchisee is located or will be operating. This Rider is applicable if the franchisee is a resident of or is establishing a Bens Soft Pretzels business in a state that requires franchise registration.
The Rider ensures that certain provisions of the Franchise Agreement do not waive any claims under applicable state franchise law, including claims of fraud in the inducement, or disclaim reliance on statements made by the franchisor. This protection is crucial for franchisees as it prevents them from unknowingly giving up their legal rights under state laws. The Rider explicitly states that its effectiveness is contingent upon meeting the jurisdictional requirements of the franchise law in the relevant state, independently of the Rider itself.
In essence, the Rider modifies the standard Bens Soft Pretzels Franchise Agreement to align with the legal requirements of franchise registration states, providing additional protections to franchisees in those jurisdictions. However, the Rider's provisions are only effective if the underlying jurisdictional requirements of the state's franchise law are independently satisfied, ensuring that the Rider works in conjunction with, rather than as a replacement for, state law.