Can Bumper Man designate credit and debit card issuers that the franchisee must use?
Bumper_Man Franchise · 2025 FDDAnswer from 2025 FDD Document
owever, that nothing in this Section 9(b) or elsewhere in this Agreement restricts or is intended to restrict Franchisee's communications with any state or federal law regulator or enforcement authority about potential violations of law. Franchisee will be solely responsible for procuring and continuously maintaining thereafter all approvals, permits, and/or licenses required for the operation of the Business.
(c) Credit Card and Other Methods of Payment. Franchisor may, at its option, designate in writing credit and debit card issuers or sponsors check or credit verification services, financial center services, and electronic funds transfer systems, and upon any such designation by Franchisor, Franchisee must maintain credit card relationships with such credit and debit card issuers or sponsors check or credit verification services, financial center services, and/or electronic funds transfer systems in connection with the operation of the Bumper Business and refrain from using any services or providers that Franchisor has not approved in writing or for which Franchisor has revoked its approval. Franchisor may modify its requirements and designate additional approval or required methods of payment and vendors for
processing such payment. Franchisee must comply with the PCI DSS as they may be revised and modified by the Payment Card Industry Security Standards Council, or any successor or replacement organization and/or in accordance with other standards Franchisor may specify, and FACTA. Franchisee also must upgrade periodically its Technology System, at Franchisee's expense, to maintain compliance with PCI DSS, FACTA and all Applicable Law.
Source: Item 23 — RECEIPTS (FDD pages 45–180)
What This Means (2025 FDD)
According to Bumper Man's 2025 Franchise Disclosure Document, Bumper Man has the option to designate specific credit and debit card issuers that franchisees must use. If Bumper Man makes such a designation in writing, the franchisee is obligated to establish and maintain credit card relationships with those designated issuers.
This requirement extends beyond just credit card issuers. Bumper Man can also designate sponsors, check or credit verification services, financial center services, and electronic funds transfer systems that franchisees must use. Conversely, franchisees are prohibited from using any services or providers that Bumper Man has not explicitly approved in writing or has revoked approval for.
Bumper Man retains the right to modify these requirements, including designating additional approved or required methods of payment and vendors. Franchisees are expected to comply with these changes within a reasonable timeframe, not exceeding three months from notification, unless otherwise agreed upon in writing with Bumper Man. This ensures that Bumper Man can maintain consistent standards and adapt to changing market conditions across all its franchise locations.
The FDD states that these requirements are deemed reasonable and necessary to ensure continued public acceptance and patronage of Bumper Man businesses and to avoid deterioration or obsolescence in connection with the operation of the Bumper Business. Failure to comply with these requirements may allow Bumper Man to effect the required changes or maintenance and require the franchisee to reimburse Bumper Man for the costs incurred.