What is the Christian Brothers Automotive franchisee required to do with advertising materials?
Christian_Brothers_Automotive Franchise · 2025 FDDAnswer from 2025 FDD Document
orporation
independent right to enforce it. Franchisee will submit copies of all such executed
Nondisclosure Agreements to Franchisor within ten (10) days of their execution.
- ADVERTISING AND MARKETING.
8.01 Advertising Standards. Franchisee will only use such advertising, identification and
promotional materials and programs (including, but not limited to, printed and broadcast
advertisements, stationery, business cards, press releases, signs, displays, leaflets,
newspaper inserts, promotional mail outs and promotional literature) which have been
furnished by Franchisor or been approved in advance by Franchisor in accordance with
Section 8.04. All advertising by Franchisee shall be conducted in a dignified manner, shall
conform to such standards, specifications and requirements as Franchisor may specify from
time to time in writing, in its Confidential Operations Manual or otherwise, and shall not
in any way detract from, reflect unfavorably upon, or denigrate the Marks, the System, the
products, or Franchisor.
8.02 Administration of Franchisor's Marketing Program. Franchisor or its designee may
administer Marketing Funds (as defined below) as follows:
(a) As provided in Section 4.02 of this Agreement, if Franchisor establishes any
Programs, Franchisee will pay to Franchisor a "Marketing Fee" of up to the
Maximum Annual Cost per Program fund per year. The Marketing Fee will be
combined with contributions made by all other franchisees of Franchisor that are
members of that Program to create marketing funds (the "Marketing Funds").
(b) Franchisor will have sole discretion over the creative concepts, materials and media
used in such Program, and the placement and allocation of advertising. Franchisee
acknowledges that the Marketing Funds are intended to further general public
Franchise Agreement (Ver 04-14-2025)
Franchisee: ___________
Franchisor: Christian Brothers Automotive Corporation
recognition and acceptance of the Marks for the benefit of the System and that
Franchisor and its designees undertake no obligation to make expenditures which
are equivalent or proportionate to Franchisee's contributions. Franchisor cannot
and does not represent or insure that each franchise member of a Program will
benefit directly or on a pro rata basis from the placement of advertising in
connection with a particular Program.
Source: Item 23 — RECEIPTS (FDD pages 76–372)
What This Means (2025 FDD)
According to the 2025 Christian Brothers Automotive Franchise Disclosure Document, franchisees must adhere to specific advertising standards and utilize only approved materials. Franchisees are required to use advertising, identification, and promotional materials furnished by Christian Brothers Automotive or approved in advance by them. This includes printed and broadcast advertisements, stationery, business cards, press releases, signs, displays, leaflets, newspaper inserts, promotional mail outs, and promotional literature. All advertising must be conducted in a dignified manner and conform to the standards and specifications provided by Christian Brothers Automotive, ensuring that it does not negatively impact the brand.
Christian Brothers Automotive may administer marketing programs, requiring franchisees to pay a "Marketing Fee" that is combined with contributions from other franchisees to create marketing funds. Christian Brothers Automotive has sole discretion over the creative concepts, materials, media used, and the placement and allocation of advertising within these programs. The marketing funds are intended to enhance public recognition and acceptance of the brand for the benefit of the entire system.
Furthermore, franchisees are obligated to distribute materials provided by Christian Brothers Automotive when commencing operations, as instructed by the franchisor. Christian Brothers Automotive may require franchisees to collaborate with their marketing department to develop a new store opening plan, which may include local market media, direct mail, digital marketing, collateral and signage printing, promotional giveaway items, community non-profit partnerships, and a grand opening event. Franchisees may be required to spend up to $30,000 on these new store advertising activities, which is in addition to local advertising expenses. Franchisees must also maintain a business telephone and list their franchised business under headings designated by Christian Brothers Automotive in the Confidential Operations Manual in appropriate sections of online listing sites or platforms, with prior written approval required for placing a listing. Franchisees are also required to participate in promotional programs developed by Christian Brothers Automotive for the system, as directed in the Confidential Operations Manual or in writing.
Failure to comply with these advertising obligations constitutes a material breach of the franchise agreement. Franchisees must comply with all obligations, procedures, and duties regarding advertising as outlined in the agreement. These measures ensure brand consistency and protect the reputation of the Christian Brothers Automotive system.