factual

What is the Christian Brothers Automotive franchisee's obligation regarding the conduct of advertising?

Christian_Brothers_Automotive Franchise · 2025 FDD

Answer 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.

  1. 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.

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. Franchisees are required to use only advertising, identification, and promotional materials that have either been furnished by Christian Brothers Automotive or have received prior approval from them. This includes a wide range of materials, such as printed and broadcast advertisements, stationery, business cards, press releases, signs, displays, leaflets, newspaper inserts, promotional mail outs, and promotional literature.

All advertising conducted by the franchisee must be dignified and conform to the standards, specifications, and requirements that Christian Brothers Automotive specifies in writing, either in its Confidential Operations Manual or otherwise. The advertising must not detract from, reflect unfavorably upon, or denigrate the Christian Brothers Automotive marks, the system, or the products.

Christian Brothers Automotive also has the right to administer marketing programs and funds, using contributions from franchisees to create marketing funds. Christian Brothers Automotive has sole discretion over the creative concepts, materials, media, placement, and allocation of advertising within these programs. While these marketing funds are intended to benefit the entire Christian Brothers Automotive system, there is no guarantee that each franchisee will directly benefit on a pro rata basis from the advertising placement.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.