When must the Commodity Schedules be affixed to the Motor Fuel Agreement for Circle K franchisees?
Circle_K Franchise · 2025 FDDAnswer from 2025 FDD Document
| This Motor Fuel Agreement (the "Agreement") is made and entered into between TMC Franchise Corporation("Seller") and, ("Purchaser"). |
|---|
| WITNESSETH: |
| In consideration of the mutual promises herein contained, Seller, or its affiliate on behalf |
| of Seller, will sell and deliver to Purchaser at the premises located at |
| (the "Premises"), and Purchaser will purchase, receive and pay for, branded motor fuel product(s) |
| under the CIRCLE K® |
| trademarks, service marks, trade names, brand names, trade dress, logos, |
| color patterns, color schemes, design schemes, insignia, image standards or other brand |
| identifications (the "Proprietary Marks"), and other products, of the kind and in the quantities and |
| under the terms and conditions specifically set forth in Commodity Schedule(s) attached hereto |
| and made a part hereof. |
| 1. |
| Term; Renewal. The term ("Term") of this Agreement will begin on the Effective Date |
| (as |
| defined on signature page hereto) and will terminate upon the expiration or earlier termination of |
| the Convenience Store Franchise Agreement entered into between Seller and Purchaser governing |
| the Premises (the "Convenience Store Franchise Agreement"), unless terminated earlier pursuant |
| to the terms hereof. The Term will renew if and only if the Franchise Agreement is renewed, in |
| accordance with the renewal terms and conditions set forth in the Franchise Agreement. |
| 2. |
| Products. |
| Purchaser agrees that Seller will be the exclusive supplier of all of Purchaser's |
| motor fuel requirements at the Premises at all times during the Term. The following Commodity |
| Schedule(s) forming a part of this Agreement were affixed at or before the signing hereof. |
Source: Item 23 — RECEIPTS (FDD pages 100–359)
What This Means (2025 FDD)
According to Circle K's 2025 Franchise Disclosure Document, the Commodity Schedules, which outline the specific terms and conditions for motor fuel products, must be attached to the Motor Fuel Agreement at or before the time of signing. This means that a prospective Circle K franchisee should receive and review these schedules before finalizing the agreement.
The Commodity Schedules are a crucial part of the agreement because they detail the types and quantities of motor fuel products the franchisee is required to purchase from Circle K. These schedules also define the terms and conditions for the sale and delivery of these products. The franchisee is obligated to purchase motor fuel exclusively from Circle K during the term of the agreement.
Furthermore, the agreement allows for amendments to the Commodity Schedules over time through mutual agreement. These changes can involve adding, substituting, or deleting items or provisions, but all revisions must be marked, initialed by both Circle K and the franchisee, and then affixed to the agreement to become effective. This ensures that both parties are aware of and agree to any modifications to the original terms. The franchisee must purchase no less than the quantities shown on the applicable Commodity Schedules.
If a franchisee fails to purchase at least 75% of the minimum volume requirements outlined in the Commodity Schedules, Circle K has the right to terminate the agreement. This highlights the importance of carefully reviewing and understanding the purchase obligations detailed in these schedules before signing the Motor Fuel Agreement.