What rights does the seller have to access the Circle K premises to inspect environmental compliance?

According to Circle K's 2025 Franchise Disclosure Document, the seller's representatives are permitted to enter the premises to perform physical measurements and reconciliation of product stored in underground storage tanks (USTs). This includes the right to inspect and/or test any equipment and records used for complying with local, state, or federal environmental protection or compliance requirements. These inspections can include the review of the franchisee's reconciliation and inspection records. However, the seller is not obligated to conduct these inspections or tests.

This provision ensures that Circle K can monitor and enforce environmental compliance at its franchised locations. It allows Circle K to verify that franchisees are adhering to all applicable environmental laws and regulations, as well as the company's own environmental protection programs. This is particularly important for Circle K, given the potential environmental risks associated with the storage and sale of motor fuels.

For a prospective Circle K franchisee, this means they must allow Circle K representatives access to their premises to conduct environmental inspections and tests. Franchisees should maintain accurate records of all UST maintenance, inspections, and product measurements to demonstrate compliance. While Circle K is not required to perform these inspections, the franchisee must be prepared for them and cooperate fully with any environmental protection programs established by Circle K or its suppliers. Failure to comply with environmental regulations or cooperate with Circle K's inspections could result in penalties or other enforcement actions.