Under what conditions can a Batteries Plus Bulbs franchisee renew their Franchise Agreement?
Batteries_Plus_Bulbs Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Agreement(1) | Summary(1) |
|---|---|---|
| a. Length of the franchise term | Section 3; Section 3 of Multiple Unit Franchise Agreement | Franchise Agreement: 10 years. Multiple Unit Franchise Agreement: Ends on last day of Development Schedule. |
| b. Renewal or extension | Section 3 | If you are in good standing, you can renew the Franchise |
| of the term | Agreement for one additional 10 year term. | |
| c. Requirements for you to renew or extend | Section 3 | Provide advance notice, comply with current Franchise Agreement, you and your Store Manager satisfactorily complete any new/refresher training programs, you and your Principal Owners must meet current managerial, financial and business standards, sign new agreement (which may contain materially different terms and conditions than your original Franchise Agreement), remodel, pay renewal fee and Omni-Channel access renewal fee, and sign a general release of claims. |
Source: Item 17 — Renewal, Termination, Transfer, and Dispute Resolution (FDD pages 49–53)
What This Means (2025 FDD)
According to the 2025 Batteries Plus Bulbs Franchise Disclosure Document, a franchisee can renew their Franchise Agreement if they are in good standing with the company. If these conditions are met, the franchisee can renew for one additional term of 10 years.
To successfully renew the Franchise Agreement, a Batteries Plus Bulbs franchisee must provide advance notice to the franchisor. They must also comply with the terms of the current Franchise Agreement. Furthermore, both the franchisee and their Store Manager must satisfactorily complete any new or refresher training programs that Batteries Plus Bulbs requires at the time of renewal. The franchisee and their Principal Owners must also meet the franchisor's current managerial, financial, and business standards.
In addition to meeting the above requirements, the franchisee must sign a new franchise agreement, which Batteries Plus Bulbs notes may contain materially different terms and conditions than the original agreement. The franchisee will also be required to remodel their store to meet current brand standards, pay a renewal fee, pay an Omni-Channel access renewal fee, and sign a general release of claims, which releases Batteries Plus Bulbs from any past, present, or future claims the franchisee may have against them.
Prospective franchisees should carefully consider these renewal conditions, as they involve significant financial investment (remodel, renewal fees) and operational requirements (training, compliance). The fact that the new agreement may contain materially different terms is also an important consideration, as it introduces uncertainty about the future terms of the franchise relationship.