How does Dollar Rent A Car allocate costs among combined programs?
Dollar_Rent_A_Car Franchise · 2025 FDDAnswer from 2025 FDD Document
12.24. Programs. You shall subscribe to, fully and completely participate in, and comply with any and all operating programs, customer satisfaction programs, account programs, coupon programs, marketing and sales programs, experimental or test programs, and such other programs that We may from time to time prescribe in the Operations Guide or otherwise in writing, including, but not limited to any (i) one-way rental program, (ii) frequent renter, loyalty and/or rewards program(s), (iii) Corporate Rate Programs (as defined in and in accordance with and subject to Section 12.26 below); and (iv) any programs involving a Car Sales Business, Vehicle Leasing Business or Car Self-Service/Sharing Business in which we require you to participate as contemplated by Section 3.2, as all such programs and additional programs may be modified, replaced or instituted by Us from time to time and as may be specifically identified in Attachment A hereto (together with all programs, campaigns, and activities described in Section 12.23 above, the "Programs"). The Programs may include participation by Vehicle Rental Businesses owned, operated, franchised, or licensed by Our Affiliate(s) which are identified by trademarks, trade names, service marks, logos, emblems, and other indicia and origin different and distinct from the Proprietary Marks, including Vehicle Rental Businesses that may compete with Your Business. You agree to fully and completely participate in, support and service the Programs, and to incur the expenses, if any, of doing so, in accordance with the relevant provisions of the Programs, as required by Us, regardless of whether all other System franchisees are also required to participate in, support and service the Programs. If all other System franchisees are also required to participate in, support and service a Program, then the expenses incurred by You will be on the same basis as other System franchisees. You understand and agree that You may be required to enter into participation or other agreements, which shall contain such terms and conditions as We shall determine to be appropriate, to evidence Your participation in such Programs.
Source: Item 23 — RECEIPTS (FDD pages 102–301)
What This Means (2025 FDD)
According to the 2025 Dollar Rent A Car FDD, franchisees are required to participate in various programs that Dollar Rent A Car may prescribe. These programs can include operating, customer satisfaction, account, coupon, marketing, and sales programs.
Dollar Rent A Car requires franchisees to fully participate in, support, and service these programs, incurring any associated expenses. If all other Dollar Rent A Car franchisees are also required to participate in a program, the expenses incurred by a franchisee will be on the same basis as those of other franchisees in the system. This means that costs for system-wide programs are shared equitably among franchisees.
Prospective franchisees should be aware that participation in these programs is mandatory and can involve additional expenses. Franchisees may also be required to enter into separate agreements that outline the terms and conditions of their participation in specific programs. It is important for franchisees to understand the financial implications of these programs and how costs are allocated to ensure they can meet their obligations.