How are the charges determined for non-standard support provided by Big O Tires?
Big_O_Tires Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee may not sell any product or service that has not been selected, designated or approved by Big O except that during the three (3) year period starting on the Commencement Date of this Agreement, Franchisee may provide services (herein referred to as "Non-Standard Services") that meet both of the following: (a) were provided by it at the Premises immediately prior to the Commencement Date of this Agreement, and (b) are listed on Schedule C attached to this Agreement and incorporated by reference herein.
The following language shall be added as Section 14.07 of the Agreement:
- 14.07 Non-Standard Services.
Franchisee may not use the Licensed Marks for or in connection with the Non-Standard Services, except that the Non-Standard Services may be offered from the Premises to the extent permitted under Section 14.02 of this Agreement.
If Franchisee provides any Non-Standard Services, it will provide conspicuous notice to the public by signage, disclaimers on invoices and/or other means that such Non-Standard Services are not provided by nor affiliated with Big O.
Also Franchisee must provide warranties on these Non-Standard Services; these warranties must be satisfactory to Big O and must be provided by a third party carrier satisfactory to us.
Franchisee acknowledges that Big O does not provide training, supervision or support in connection with the Non-Standard Services.
Franchisee shall conduct the Non-Standard Services in compliance with all applicable laws, rules and regulations and in a safe and appropriate manner.
Franchisee shall immediately cease or modify any Non-Standard Services that present a threat to the health or safety of the public or any individual and/or that could cause the occurrence of any damages.
Franchisee hereby agrees to indemnify and hold Big O harmless from and against any and all claims or liabilities arising out of or in connection with Franchisee's offer, sale or provision of Non-Standard Services.
Source: Item 23 — RECEIPTS (FDD pages 102–535)
What This Means (2025 FDD)
According to Big O Tires' 2025 Franchise Disclosure Document, Big O Tires franchisees may offer services not typically provided by Big O Tires, termed "Non-Standard Services," under specific conditions. These services must have been provided at the franchisee's premises before the franchise agreement's commencement date and be listed on Schedule C of the agreement.
However, Big O Tires does not provide training, supervision, or support for these Non-Standard Services. The franchisee is solely responsible for ensuring these services comply with all applicable laws and are conducted safely. Furthermore, the franchisee must conspicuously notify customers that these services are not affiliated with Big O Tires through signage and disclaimers.
The FDD excerpt does not specify any charges or fees associated with Non-Standard Services. Instead, it emphasizes the franchisee's responsibility for these services and the requirement to indemnify Big O Tires against any claims or liabilities arising from them. Therefore, a prospective franchisee should inquire directly with Big O Tires about any potential fees or requirements related to offering Non-Standard Services.