factual

In the Technology Agreement, who is the agreement between besides Big O Tires, LLC?

Big_O_Tires Franchise · 2025 FDD

Answer from 2025 FDD Document

OLOGY AGREEMENT

THIS TECHNOLOGY AGREEMENT is being executed as of the day of,
20, by and between Big O Tires, LLC, a Nevada limited liability company ("Big O") and
("Franchisee"), under the following circumstances:

RECITALS

  • A. Big O, together with certain of its franchisees, has currently selected Sparkplug Studios LLC dba Tekmetric ("Tekmetric") and its cloud based automotive services software system ("Software System") as the Approved Point-of-Sale Vendor and software system for Big O franchisees to use in their Big O Tires store businesses, and Big O authorizes the Big O franchisees to utilize such Software System under the terms set forth in the Software as a Service End User Agreement ("SaaS User Agreement").
  • B. Pursuant to a Software as a Service Agreement entered into between Tekmetric and Big O, Tekmetric is licensing to Big O the Software System for use in Big O stores, and will assist with the development of an interface between the Software System and a Big O Consumer Database.
  • C. Franchisee is a franchisee of Big O pursuant to one or more Franchise Agreements.
  • D. Contemporaneously with the execution of this Agreement, Franchisee is executing an SaaS User Agreement with Big O, pursuant to the terms of which, among other things, Big O will sublicense the Software System and related services to Franchisee for its Big O Tires retail tire and automotive service store(s).
  • E. In consideration of Big O's authorization for Franchisee to utilize the Software System and services as set forth in the Saas User Agreement, Franchisee has agreed to perform the obligations set forth in this Agreement.
  • F. This Agreement is being executed by Big O and Franchisee for the purpose of acquiring repository data as outlined in the Shared Information - Schedule A defined herein.
  • G. Capitalized terms set forth in these Recitals shall have the same meaning ascribed to them in the SaaS User Agreement unless otherwise expressly set forth below.

AGREEMENT

NOW, THEREFORE, the parties hereby agree as follows:

    1. Certain Definitions. The following terms shall have the meaning set forth below:
  • (a) APPROVED POINT-OF-SALE VENDOR means the vendor and/or Point-of-Sale system Big O management designates that franchisees must use. Big O management may, at its sole discretion, change the Approved Point-of-Sale Vendor. In the event that Big O changes the Approved Point-of-Sale Vendor, all references herein to Tekmetric shall be deemed to refer to the new Approved Point-of-Sale Vendor.

  • (b) COMPETING REGIONAL STORE means a Big O Tires Store that has an address, which includes a U.S. Postal zip code containing the same first three digits of the U.S. Postal zip code included in the address of the Designated Location.
  • (c) CONSUMER DATABASE means the software and data repository developed and to be developed by Big O and its third party vendors that provides, by way of example, consumer and transactional data to improve (i) certain Big O retail processes as conceptually described in the Manuals (e.g., consistent mailing of customer thank you cards and reminder notices, processing of customer warranty claims, etc.); (ii) analysis of consumer purchasing trends; (iii) suggestion of retail store inventories to meet anticipated retail demand; and (iv) Big O's understanding of customer and market trends so it can meet the demands and inventory needs of Franchisee, other franchisees of Big O and their customers.
  • (d) DESIGNATED LOCATION(S) shall mean the location(s) of Franchisee's Big O Tires store(s) for which it is licensing the Software System as set forth in the SaaS User Agreement.
  • (e) EFFECTIVE DATE shall have the same meaning as set forth in the SaaS User Agreement.
  • (f) FRANCHISE ADVISORY COUNCIL means a group of franchisee representatives elected by the franchisees of Big O, which meets periodically with Big O's management to review aspects of Big O's strategic plans as may be presented from time to time by Big O and to discuss issues of concern to franchisees of Big O. The function of this group is more fully described in Big O's Franchise Disclosure Document.

Source: Item 23 — RECEIPTS (FDD pages 102–535)

What This Means (2025 FDD)

According to the 2025 Big O Tires Franchise Disclosure Document, the Technology Agreement is between Big O Tires, LLC, and the franchisee. Additionally, Sparkplug Studios LLC dba Tekmetric is identified as having a role related to the software system used by Big O Tires and its franchisees. Tekmetric licenses the Software System to Big O for use in Big O stores and assists with the development of an interface between the Software System and a Big O Consumer Database.

Specifically, the franchisee is required to execute a SaaS User Agreement with Big O, which allows the franchisee to sublicense the Software System for their Big O Tires retail store. In return, the franchisee agrees to fulfill the obligations outlined in the Technology Agreement. This setup ensures that franchisees utilize the approved point-of-sale vendor and software system, Tekmetric, under the terms specified in the SaaS User Agreement.

Furthermore, the franchisee is obligated to cooperate with Big O, Tekmetric, and their consultants to resolve any issues that may hinder the transmission of shared information. This cooperation includes granting access to the franchisee's computer system for diagnostic and troubleshooting purposes. The agreement also stipulates that any disputes involving Tekmetric will be governed by the laws of Delaware and will be subject to the jurisdiction of courts in Palm Beach County, Florida, highlighting Tekmetric's integral role in the technological infrastructure of Big O Tires franchises.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.