Who determines the prices and terms for the Equipment purchased by a Circle K franchisee?
Circle_K Franchise · 2025 FDDAnswer from 2025 FDD Document
Purchase and Use of Equipment; Network Fees.
- (a) Purchaser shall purchase the approved credit and debit card electronic credit
authorization terminals and related peripheral equipment (the "Equipment") from TMC or its designee and shall pay for the installation of the credit authorization terminals, by an installer selected by TMC, at the Premises. The Equipment will be sold to Purchaser at the prices and on the terms established by TMC or its designee from time to time. Within 30 days after receiving written notice from TMC, Purchaser shall install all updated credit and debit card equipment for the Circle K® Credit Card Program specified by TMC in writing. As part of the Equipment, TMC may provide Purchaser with certain proprietary or third-party software or firmware and access to TMC's network (the "TMC Network"). Purchaser understands and agrees that, in connection with its use of the Equipment and the TMC Network, Purchaser must comply with TMC's instructions and guidelines from time to time communicated to Purchaser hereunder, whether communicated in written or electronic form (such guidelines and instructions referred to collectively as the "Card Guide"), and failure by Purchaser to comply with the Card Guide constitutes a default under this Agreement.
Source: Item 22 — CONTRACTS (FDD page 100)
What This Means (2025 FDD)
According to Circle K's 2025 Franchise Disclosure Document, the prices and terms for the purchase of approved credit and debit card electronic credit authorization terminals and related peripheral equipment (referred to as "the Equipment") are established by TMC or its designee. TMC, acting as the franchisor, also selects the installer for these credit authorization terminals. Franchisees are required to purchase the Equipment from TMC or its designee and pay for the installation at the premises.
Circle K franchisees must install updated credit and debit card equipment for the Circle K® Credit Card Program within 30 days of receiving written notice from TMC. As part of the Equipment, TMC may provide proprietary or third-party software or firmware and access to TMC's network (the "TMC Network").
Franchisees must comply with TMC's instructions and guidelines, known as the "Card Guide," when using the Equipment and the TMC Network. Failure to adhere to the Card Guide constitutes a default under the Franchise Agreement. This ensures that all franchisees operate under a standardized system, maintaining consistency and quality across all Circle K locations.