Does Circle K's termination of the agreement prejudice its right to seek monetary damages from the Purchaser?
Circle_K Franchise · 2025 FDDAnswer from 2025 FDD Document
- (c) Seller's termination of this Agreement shall not prejudice Seller's right to seek monetary damages or equitable relief against Purchaser.
All powers and remedies available at law and in equity, including the right to terminate this Agreement, shall be cumulative and not exclusive of any other powers and remedies available by virtue of this Agreement, and no delay or omission of Seller in exercising any right or power accruing upon any breach of, or default under any provision of this Agreement shall impair any other or subsequent breach or impair any rights or remedies consequent thereto.
Source: Item 23 — RECEIPTS (FDD pages 100–359)
What This Means (2025 FDD)
According to Circle K's 2025 Franchise Disclosure Document, Circle K's termination of the agreement with a purchaser does not prevent Circle K from pursuing monetary damages or equitable relief against that purchaser. This means that even if Circle K ends the agreement, it still retains the right to sue the purchaser for financial losses or to seek a court order to enforce the agreement.
This provision protects Circle K's interests in the event of a breach of contract or other violation of the agreement by the purchaser. It ensures that Circle K can recover damages caused by the purchaser's actions, even after the agreement has been terminated. This is a standard practice in franchising, as it allows the franchisor to protect its brand and business interests.
Furthermore, all legal powers and remedies available to Circle K, including the right to terminate the agreement, are cumulative. This means that Circle K can use any and all legal options available to them, and these options do not exclude each other. The fact that Circle K might delay or not immediately use a right or power after a breach or default does not mean they give up that right. This ensures Circle K retains maximum flexibility in addressing any issues that may arise during the agreement.