What section of the Budget License Agreement addresses honoring National Account agreements and participating in Programs?
Budget Franchise · 2025 FDDAnswer from 2025 FDD Document
| OBLIGATION | SECTION IN AGREEMENT | ITEM IN DISCLOSURE DOCUMENT |
|---|---|---|
| cc. Honor National Account agreements and participate in Programs | Art. VI. 9.13, 11.10 and VI of the Budget License Agreement | Items 1, 6, 11, and 12 |
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 37–61)
What This Means (2025 FDD)
According to Budget's 2025 Franchise Disclosure Document, the sections of the Budget License Agreement that address honoring National Account agreements and participating in Programs are specified in Article VI, sections 9.13, 11.10, and VI. These sections are further referenced in Items 1, 6, 11, and 12 of the disclosure document.
For a prospective Budget franchisee, this means that the obligations to honor national account agreements and participate in Budget's programs are legally binding and detailed within these specific sections of the Budget License Agreement. Franchisees must familiarize themselves with these sections to fully understand their responsibilities and the franchisor's expectations regarding these agreements and programs.
Understanding these obligations is crucial, as compliance typically affects revenue, customer service standards, and overall brand consistency. By adhering to these sections, franchisees contribute to the unified brand image and benefit from the established national accounts and programs that Budget offers. Failure to comply could result in penalties or breaches of the franchise agreement.