factual

Where in the Petro Stopping Center franchise agreement can I find details about restrictions on what I can sell?

Petro_Stopping_Center Franchise · 2025 FDD

Answer from 2025 FDD Document

[Item 16: RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL]

Provision Section in Agreement Summary
n. Petro Franchise's right of first refusal to acquire your business Section 16.7 (m) if the transfer relates solely to conveying the real estate underlying the Site to a third party lessor, the lessor must execute a Lease Assignment and the parties must otherwise comply with the lease requirements under the Franchise Agreement; (n) you and your transferring Owners (and your and your Owners' spouses) must sign a non-competition covenant in favor of us agreeing to be bound, commencing on the effective date of the transfer, by the restrictions contained in this Agreement; and (o) you and your transferring Owners must agree that you and they will not directly or indirectly at any time or in any manner (except with respect to other Petro Centers you own and operate) identify yourself or themselves or any business as a current or former Petro Center, or as one of our licensees or franchisees, use any Mark, any colorable imitation of a Mark, or other indicia of a Petro Center in any manner or for any purpose or utilize for any purpose any trade name, trade or service mark or other commercial symbol that suggests or indicates a connection or association with us. Depending on the nature of the transfer, we may choose, in our sole discretion, to waive certain of the foregoing conditions to the extent we deem them inapplicable to the transfer. If you receive an offer to purchase any interest in the Franchise Agreement, the Site and/or the Petro Center (including the real property related to the Site or the Petro Center, whether a leasehold, fee interest or otherwise) or an ownership interest in you, you must offer those terms to Petro Franchise; Petro Franchise then has 30 days from receipt of the written offer to meet such offer, which right applies during the term of your Franchise Agreement and for the 5 year period following expiration or termination.
o. Petro Franchise's option to purchase your business Section 19.5 Petro Franchise has an option to purchase your Petro Center, the Operating Assets, and your interest in the Site. Petro Franchise may exercise its option to purchase if your Franchise Agreement is terminated or expires.
p. Your death and disability Sections 16.4 and 16.5 Upon your, an Owner of a controlling interest in you, or your Managing Owner's death or disability, Petro Franchise may require you (or such Owner's executor, administrator, conservator, guardian or other personal representative) to transfer your interest in the Franchise Agreement (or such Owner's interest in you) to a third party. Your heirs, beneficiaries or

[Item 16: RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL]

Provision Section in Agreement Summary
of any Confidential Information or use, duplicate
or disclose any portion of the Manuals
in
violation of the Franchise Agreement; you fail to
pay any amounts due to us or any Approved
Supplier and do not correct such failure within
five days after written notice of such failure is
delivered to you; you fail to pay taxes due in
connection with
the operations of the Petro
Center, unless you are in good faith contesting
your liability for such Taxes; you fail to comply
with any provision of the Franchise Agreement or
any Petro System Standard and do not correct
such failure within 30 days after written notice of
such failure to comply is delivered to you; you fail
on two or more separate occasions within any
period of 12 consecutive accounting periods or on
five occasions during the franchise term to submit
reports or other data, information or supporting
records when due; or to pay when due any
amounts due to us or otherwise to comply with
the Franchise Agreement, whether or not such
failures to comply were corrected after written
notice of such failure was delivered to you; you
fail to maintain sufficient liquid funds and bank
authorizations to pay amounts to us via electronic
transfer on two or more separate occasions during
the franchise term; or you make an assignment for
the benefit of creditors or admit in writing your
insolvency or inability to pay your debts generally
as they become due; you consent to the
appointment of a receiver, trustee or liquidator of
all or the substantial part of your Operating
Assets; the Petro Center or the Operating Assets
are attached, seized, subjected to a writ or distress
warrant or levied upon, unless such attachment,
seizure, writ, warrant or levy is vacated within 30
days; or any order appointing a receiver, trustee
or liquidator of you, the Petro Center or the
Operating Assets, is not vacated within 30 days
following the entry of such order.
i. Your obligation on termination/non-renewal Section 19 Your obligations include: pay us any Royalties, Monthly Advertising Fees, or any other amounts owed us or our Affiliates, interest due on any of the foregoing and all other amounts owed to us which are then unpaid within 15 days; stop operations of Petro Center as a Petro-branded facility; cease to identify yourself or any business as a current or former Petro Centers, or as one of our licensees or franchisees, use any Mark, any colorable imitation of a Mark or other indicia of a Petro Center in any manner or for any purpose or utilize for any purpose any trade name, trade or
Provision Section in Agreement Summary

Source: Item 16 — RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD pages 66–78)

What This Means (2025 FDD)

According to Petro Stopping Center's 2025 Franchise Disclosure Document, Item 16 discusses restrictions on what a franchisee may sell. While the document lists the item and section number, it does not provide a summary of the restrictions.

Specifically, Item 16 provides a table that includes the 'Provision', 'Section in Agreement', and 'Summary'. However, the table focuses on other restrictions related to the franchise agreement, such as Petro Franchise's right of first refusal to acquire your business, Petro Franchise's option to purchase your business, and obligations upon termination or non-renewal. These sections outline various conditions and obligations related to transferring the franchise, the franchisor's option to purchase, and franchisee responsibilities upon termination or non-renewal of the agreement.

To fully understand the restrictions on what you can sell as a Petro Stopping Center franchisee, you should carefully review Section 16 of the franchise agreement and consult with the franchisor directly. Clarification from the franchisor will ensure you are fully aware of any limitations on products or services you can offer at your Petro Stopping Center location.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.
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