What assets can Petro Stopping Center exclude from the purchase of my Petro Stopping Center?

According to the 2025 Petro Stopping Center Franchise Disclosure Document, when Petro Stopping Center exercises its option to purchase your Petro Center, it may exclude certain assets from the purchase. Specifically, Petro Stopping Center can exclude cash or its equivalent. Additionally, they can exclude any operating assets such as equipment, signs, inventory, materials, and supplies that are not reasonably necessary for the Petro Center's operation in terms of function or quality. Petro Stopping Center can also exclude any assets that they have not approved as meeting their standards for Petro Centers. The purchase price will be adjusted to reflect these exclusions.

This provision is important for prospective franchisees because it clarifies that Petro Stopping Center is not obligated to purchase all assets of the franchise location upon termination or expiration of the franchise agreement. The exclusion of assets deemed unnecessary or not meeting standards protects Petro Stopping Center from acquiring potentially obsolete or substandard items.

For a prospective franchisee, this means they need to maintain their assets to Petro Stopping Center's standards throughout the term of the agreement. If a franchisee neglects to maintain or upgrade equipment and supplies, those assets may be excluded from the purchase by Petro Stopping Center, reducing the overall purchase price the franchisee receives. It is also important to note that the determination of what is "reasonably necessary" is subject to Petro Stopping Center's discretion, which introduces a degree of subjectivity and potential negotiation during the purchase process.