Is a Circle K franchisee allowed to discriminate against Circle K credit card holders?
Circle_K Franchise · 2025 FDDAnswer from 2025 FDD Document
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 Circle K's 2025 Franchise Disclosure Document, franchisees are explicitly prohibited from discriminating against Circle K credit card holders. The Credit Network Agreement states that franchisees must accept all credit cards designated by TMC Franchise Corporation (TMC) and must comply with all card agreements between TMC and various card issuers like VISA, MasterCard, and American Express.
This requirement ensures that all Circle K customers receive equal treatment regardless of their chosen payment method. By preventing discrimination against Circle K credit card holders, Circle K aims to maintain a consistent and positive brand image. This policy helps to foster customer loyalty and ensures that franchisees do not discourage the use of Circle K-branded credit cards, which likely benefit both the franchisee and franchisor through associated programs and incentives.
For a prospective Circle K franchisee, this means they must honor Circle K credit cards in the same manner as any other accepted credit card. Failure to comply with this requirement could be a breach of the Credit Network Agreement and the overall franchise agreement. Franchisees should ensure their staff are trained to properly handle all accepted payment methods to avoid any unintentional discrimination or negative customer experiences.