Does the Circle K franchisee have to accept all credit cards designated by TMC?
Circle_K Franchise · 2025 FDDAnswer from 2025 FDD Document
Purchaser shall accept all credit cards designated by TMC and will, in addition to the terms and conditions contained in this Agreement, be fully subject to and will comply with all card agreements in force between TMC or its affiliates and VISA, MasterCard, American Express, other card issuers and/or any bank, and these card agreements are expressly incorporated herein by reference.
Purchaser shall not discriminate in any manner against Circle K® credit card holders as opposed to the holders of any other credit card, such as bank credit cards, that Purchaser is authorized to accept.
Source: Item 22 — CONTRACTS (FDD page 100)
What This Means (2025 FDD)
According to the 2025 Circle K Franchise Disclosure Document, franchisees are required to accept all credit cards that TMC (TMC Franchise Corporation) designates. The Credit Network Agreement outlines that the franchisee's participation in the Credit Card Program is subject to the terms and conditions established by TMC. This includes compliance with all card agreements between TMC and VISA, MasterCard, American Express, other card issuers, and/or any bank. These card agreements are incorporated by reference into the Credit Network Agreement.
This means a Circle K franchisee must be prepared to process transactions from all credit cards approved by TMC, and they must adhere to the specific rules and regulations set forth by both TMC and the various credit card companies. Franchisees cannot discriminate against Circle K credit card holders compared to holders of other credit cards. This requirement ensures uniformity in payment processing across all Circle K locations and aligns with TMC's established Credit Card Program.
This requirement is typical in franchise systems to maintain brand consistency and customer service standards. By mandating the acceptance of specific credit cards, Circle K can negotiate favorable processing rates and implement standardized payment systems. However, it also means that franchisees have limited control over which payment methods they can accept, and they must stay updated with any changes or modifications to the Credit Card Program implemented by TMC.