Is the Franchise Agreement between the Franchisor and Franchisee for Batteries Plus Bulbs?
Batteries_Plus_Bulbs Franchise · 2025 FDDAnswer from 2025 FDD Document
BATTERIES PLUS® FRANCHISE AGREEMENT
THIS FRANCHISE AGREEMENT ("Agreement") is made and entered into this day of , 20, between Batteries Plus, L.L.C., a Wisconsin limited liability company, with a principal place of business at 1325 Walnut Ridge Drive, Hartland, Wisconsin 53029 ("Franchisor"), and , a formed and operating under the laws of the State of, or, an individual, with a principal place of business at ("Franchisee").
INTRODUCTION
- A. Franchisor develops and owns a system (the "System") relating to the development and operation of retail stores selling batteries, light bulbs and related items, and offering device repair and key fob repair and replacement, and related services for the individual retail and commercial consumer.
- B. Franchisor is the owner of the Batteries Plus® trademark, and other trademarks and service marks (the "Licensed Marks") used in operating the System.
- C. Franchisor grants qualified persons the right to develop, own and operate a Batteries Plus® store at a specific location.
- D. Franchisee desires to obtain the right to develop and operate a Batteries Plus® store using the System at a specific location.
AGREEMENTS
In consideration of the mutual covenants and agreements stated below, the parties agree as follows:
Source: Item 22 — Contracts (FDD page 80)
What This Means (2025 FDD)
According to Batteries Plus Bulbs's 2025 Franchise Disclosure Document, the agreement is indeed between Batteries Plus, L.L.C. as the Franchisor and the individual or entity named as Franchisee. The document explicitly states that the Franchise Agreement is made and entered into by these two parties. This agreement grants the franchisee the right to develop and operate a Batteries Plus Bulbs store at a specific location, utilizing the Batteries Plus Bulbs system.
The Franchise Agreement outlines the mutual covenants and agreements between Batteries Plus Bulbs and the franchisee. It defines the rights and obligations of both parties, including the franchisee's right to use the Batteries Plus Bulbs system and licensed marks. The agreement also specifies the location of the store and may include a protected area, as detailed in Exhibit A or an alternative exhibit.
Several clauses within the agreement protect Batteries Plus Bulbs's interests, such as non-solicitation of customers and non-compete covenants during and after the term of the agreement. These clauses ensure that the franchisee does not divert business away from the Batteries Plus Bulbs system or engage in competitive activities that could harm the brand. The franchisee is also required to maintain the confidentiality of proprietary information related to the Batteries Plus Bulbs system.
The agreement also addresses the term and renewal rights, specifying an initial term of ten years with the possibility of renewal for an additional ten-year term, provided certain conditions are met. These conditions include giving written notice, complying with the agreement's provisions, and maintaining the store premises. This structure is typical in franchising, providing a framework for the franchisee's operation and the franchisor's oversight.