What must a Big O Tires franchisee disclose in all dealings with third parties?
Big_O_Tires Franchise · 2025 FDDAnswer from 2025 FDD Document
- 23.02 Independent Contractor.
In all dealings with third parties, including, without limitation, customers, employees, and suppliers, Franchisee shall disclose in an appropriate manner acceptable to Big O that it is an independent entity operating under a franchise granted by Big O.
Franchisee shall submit all applications and enter into all contracts in its designated corporate name or such other fictitious names, which have been approved by Big O, but not in the name "Big O Tires" or in any other name which includes the name "Big O".
Nothing in this Agreement is intended by the parties hereto to create a fiduciary relationship between them nor to constitute Franchisee or Franchisee's employees or contractors as an agent, legal representative, subsidiary, joint venturer, partner, employee, or servant of Big O for any purpose whatsoever.
It is understood and agreed that Franchisee is an independent contractor and is in no way authorized to make any contract, warranty, or representation or to create or imply any obligation on behalf of Big O.
Neither this Agreement nor the course of conduct between Big O and Franchisee is intended, nor may anything in this Agreement or the course of conduct be construed, to state or imply that Big O is the employer of Franchisee's employees or agents, or vice versa.
Notwithstanding any other provisions in this Agreement, Big O shall not be responsible for supervising the activities of Franchisee's Big O Store or ensuring that the Big O Store is operated in compliance with applicable laws.
Franchisee shall, in all advertising and promotion, promotional materials, letterhead, and e-mails, identify itself as a "Big O Franchisee" or "Big O Licensee" or with such other words and in such other phrases to identify itself as an independent owner of the Big O Store, as may from time to time be prescribed by Big O.
Source: Item 23 — RECEIPTS (FDD pages 102–535)
What This Means (2025 FDD)
According to Big O Tires' 2025 Franchise Disclosure Document, a franchisee must disclose that they are an independent entity operating under a franchise granted by Big O Tires in all dealings with third parties, including customers, employees, and suppliers. This disclosure must be made in a manner acceptable to Big O Tires.
Furthermore, the franchisee must submit applications and enter into contracts using their designated corporate name or an approved fictitious name, but not in the name "Big O Tires" or any name that includes "Big O". This reinforces the independent nature of the franchise and prevents the franchisee from misrepresenting themselves as a direct extension of the Big O Tires corporation.
In advertising and promotional materials, letterheads, and emails, the franchisee must identify themselves as a "Big O Franchisee" or "Big O Licensee," or use other words or phrases prescribed by Big O Tires to indicate their independent ownership. This ensures that customers and other parties are aware that they are dealing with an independently owned and operated franchise, not directly with Big O Tires corporate headquarters. This is a common practice in franchising to clearly define the relationship between the franchisor and franchisee.