What is the document referred to as the 'Franchise Agreement' in the Batteries Plus Bulbs FDD?
Batteries_Plus_Bulbs Franchise · 2025 FDDAnswer from 2025 FDD Document
- D. Franchise Agreement. "Franchise Agreement" means the then-current form of agreements (including franchise agreement and any exhibits, and other documents referenced therein), Franchisor customarily uses in granting franchises to own and operate a Store. Multiple Unit Franchisee acknowledges
that the Franchise Agreement attached as Exhibit D is the current form of Franchise Agreement and Franchisor, at its discretion, may modify the standard form of Franchise Agreement customarily used in granting a Batteries Plus® franchise; provided, that the initial franchise fee and royalty and service fees will remain at the same rate as provided in the Franchise Agreement attached as Exhibit D.
Source: Item 22 — Contracts (FDD page 80)
What This Means (2025 FDD)
According to the 2025 Batteries Plus Bulbs FDD, the 'Franchise Agreement' refers to the then-current form of agreements that Batteries Plus Bulbs customarily uses when granting franchises to own and operate a store. This includes the franchise agreement itself, any exhibits, and other documents referenced within it.
For multiple-unit franchisees, the FDD clarifies that the franchise agreement attached as Exhibit D represents the current form. However, Batteries Plus Bulbs retains the discretion to modify this standard form when granting a Batteries Plus Bulbs franchise.
Importantly, the FDD states that even if Batteries Plus Bulbs modifies the standard form of the Franchise Agreement, the initial franchise fee, royalty fees, and service fees will remain at the same rate as provided in the Franchise Agreement attached as Exhibit D. This provides some assurance to prospective franchisees regarding these key financial terms.