Under what circumstances will Big O Tires charge for non-standard support?
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. For the first three years after the franchise agreement's commencement date, franchisees can continue offering services they provided at their location before becoming a Big O Tires franchise, provided these services are listed on Schedule C of the agreement.
However, Big O Tires does not provide any training, supervision, or support for these Non-Standard Services. Franchisees are required to inform customers through signage and disclaimers that these services are not affiliated with Big O Tires. Additionally, franchisees must secure warranties for these services from a third-party carrier that Big O Tires finds satisfactory.
Big O Tires does not explicitly state a charge for non-standard support. Instead, the FDD emphasizes that Big O Tires provides no support for these services and that the franchisee is solely responsible for their safe and legal operation. The franchisee also agrees to indemnify and hold Big O Tires harmless from any claims or liabilities arising from these Non-Standard Services. This arrangement protects Big O Tires from liabilities associated with services they do not oversee or endorse, placing the onus entirely on the franchisee.