Can Circle K pursue other legal remedies even after terminating the franchise agreement?

According to the 2025 Circle K Franchise Disclosure Document, Circle K retains the right to pursue other available remedies, including consequential damages, if a court determines that the liquidated damages payment outlined in Section 14.7(B) is unenforceable. This section details the calculation of liquidated damages, which the franchisee must pay upon termination of the agreement. These damages are based on lost revenues from royalty fees and other amounts payable if the franchised location is no longer a Circle K store.

However, the obligation to pay liquidated damages does not apply under certain conditions, such as the death or incapacity of the franchisee or principal equity holder, condemnation of the franchised location, destruction of the location through no fault of the franchisee, failure to secure necessary permits, or Circle K's decision to withdraw from marketing in the area.

If a court finds the liquidated damages clause unenforceable, Circle K is not limited to that remedy and can pursue any other legal avenues to recover losses, including proving and claiming consequential damages. This ensures that Circle K can seek full compensation for its losses resulting from the termination, even if the standard liquidated damages provision is deemed invalid.