Who bears the cost of repairs and replacements to the leased premises for a Big O Tires location?
Big_O_Tires Franchise · 2025 FDDAnswer from 2025 FDD Document
ises or cease to conduct its business operations as required by this Lease. Tenant shall operate its business from the Leased Premises continuously as provided in Subsection 5.2 of this Lease.
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- Authorized Service Areas. All repair and service work performed by the Tenant shall be performed inside the Tenant's Leased Premises and not on the parking area of the Leased Premises, provided however that initial inspections may be conducted outside the Leased Premises.
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- Containment and Disposal of By-Products of Service/ Repair Work.
Source: Item 23 — RECEIPTS (FDD pages 102–535)
What This Means (2025 FDD)
The 2025 Big O Tires Franchise Disclosure Document outlines the responsibilities of the tenant (franchisee) regarding the leased premises. The franchisee is responsible for performing all repair and service work inside the leased premises, not in the parking area, although initial inspections may occur outside.
Additionally, the Big O Tires franchisee is expected to make every effort to contain by-products of service and repair work, such as tires, oils, and lubricants, within the leased premises and dispose of them in an authorized manner as determined by the landlord and local laws. Any vehicles requiring overnight storage must be housed inside the leased premises or another pre-authorized storage area designated by the landlord.
While the document specifies the franchisee's responsibilities for maintaining the interior and managing waste, it does not explicitly state who is responsible for the costs of repairs and replacements to the leased premises. A prospective Big O Tires franchisee should clarify with the franchisor the specific terms of the lease agreement regarding responsibility for structural repairs, replacements, and other maintenance costs to fully understand their financial obligations.