For the Budget franchise, what entities are included within the definition of 'ABCR' for the purposes of this addendum?
Budget Franchise · 2025 FDDAnswer from 2025 FDD Document
- (b) ABCR, for the purposes of this Addendum, includes its affiliates, which are defined as any other entity controlling, controlled by or under common control with ABCR and each of their respective successors.
Source: Item 23 — RECEIPTS (FDD pages 80–426)
What This Means (2025 FDD)
According to Budget's 2025 Franchise Disclosure Document, the term ABCR, which stands for Avis Budget Car Rental, LLC, includes not only Avis Budget Car Rental, LLC itself, but also its affiliates. For the purposes of the addendum, affiliates are defined as any other entity controlling, controlled by, or under common control with ABCR. This definition also extends to each of their respective successors.
For a prospective Budget franchisee, this means that the agreements and responsibilities associated with ABCR could involve a broader range of entities than just Avis Budget Car Rental, LLC. It is important to understand the structure and relationships of these affiliated entities, as they could potentially impact the services received, the fees charged, and the overall business relationship.
This broad definition protects ABCR and provides flexibility for Budget to manage its operations and relationships with franchisees through various entities within its corporate structure. Franchisees should be aware of this extended definition and seek clarification from Budget regarding which specific entities they may be dealing with under the ABCR umbrella.