Can Big O Tires disapprove of a franchisee's choice of Operator or Manager?
Big_O_Tires Franchise · 2025 FDDAnswer from 2025 FDD Document
11.01 Store Management. Franchisee's Store shall only be operated by the Operator or a Manager employed by the Franchisee who are subject to approval by Big O. All initial and subsequent Operators and Managers are also subject to approval by Big O. Franchisee will notify Big O of each initial and subsequent Operator and Manager prior to his or her appointment to give Big O a reasonable opportunity to determine whether Big O will exercise its right of approval or disapproval as to such Operator or Manager. Big O's approval, if required, will be conditioned upon the Operator's or Manager's successful completion of any training required by Big O. Big O may waive some or all of its initial training requirements for Operators or Managers who have already received such training as a result of their affiliation with another Store or Big O franchisee or in other circumstances, in its sole discretion.
Source: Item 15 — OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISE BUSINESS (FDD pages 77–78)
What This Means (2025 FDD)
According to Big O Tires' 2025 Franchise Disclosure Document, Big O Tires retains the right to approve or disapprove a franchisee's choice of Operator or Manager. The FDD specifies that the Big O Tires store must be operated by an Operator or a Manager employed by the franchisee, and both are subject to Big O's approval.
This approval process applies to both the initial Operator or Manager and any subsequent appointments. The franchisee is required to notify Big O Tires before appointing an Operator or Manager, providing Big O Tires with a reasonable opportunity to assess and decide whether to exercise its right to approve or disapprove the candidate.
Big O Tires' approval is often conditional upon the successful completion of required training programs by the Operator or Manager. However, Big O Tires may waive some or all of the initial training requirements if the Operator or Manager has already received similar training through affiliation with another Big O Tires store or franchisee, or under other circumstances, at Big O Tires' discretion. This provision ensures that all Operators and Managers meet Big O Tires' standards for operation and management, while also allowing for flexibility based on prior experience and training.