Can the Petro Stopping Center franchisor exclude the franchisee from the site upon default?
Petro_Stopping_Center Franchise · 2025 FDDAnswer from 2025 FDD Document
modification or amendment of any of the terms without such written consent is null and void.
- 9. Exercise of Remedies: In any case of default by the Franchisee under the terms of the Lease or under the Franchise Agreement, the Franchisor shall be entitled to exercise any one or more of the following remedies in its sole discretion:
- (a) to take possession of the Site, or any part thereof, personally, or by its agents or attorneys;
- (b) to, in its discretion, without notice and with or without process of law, enter upon and take and maintain possession of all or any part of the Site, together with all furniture, fixtures, inventory, books, records, papers and accounts of the Franchisee;
- (c) to exclude the Franchisee, its agents or employees from the Site;
- (d) as attorney-in-fact for the Franchisee, or in its own name, and under the powers herein granted, to hold, operate, manage and control the Petro Center and conduct the business, if any, thereof, either personally or by its agents, with full power to use such measures, legally rectifiable, as in its discretion may be deemed proper or necessary to cure such default, including actions of forcible entry or detainer and actions in distress of rent, hereby granting full power and authority to the Franchisor to exercise each and every of the rights, privileges and powers herein granted at any and all times hereafter;
- (e) to cancel or terminate any unauthorized agreements or subleases entered into by the Franchisee, for any cause or ground which would entitle the Franchisor to cancel the same;
- (f) to disaffirm any unauthorized agreement, sublease or subordinated lien, to make all necessary or proper repairs, decorating, renewals, replacements, alterations, additions, betterments and improvements to the Site or the Site that may seem judicious, in the sole discretion of the Franchisor; and
- (g) to insure and reinsure the same for all risks incidental to the Franchisor's possession, operation and management thereof; and/or
- (h) notwithstanding any provision of the Franchise Agreement to the contrary, to declare all of the Franchisee's rights but not obligations under the Franchise Agreement to be immediately terminated as of the date of the Franchisee's default under the Lease.
- **10.
Source: Item 4 — Other Owners: (FDD pages 228–302)
What This Means (2025 FDD)
According to the 2025 Petro Stopping Center Franchise Disclosure Document, in the event of a default by the franchisee under the terms of the lease or the Franchise Agreement, Petro Stopping Center has the right to exclude the franchisee, its agents, or employees from the site. This is one of several remedies Petro Stopping Center can exercise at its discretion.
Petro Stopping Center can take possession of the site, including all furniture, fixtures, inventory, books, records, papers, and accounts. The company can also operate and manage the Petro Center, conducting business either personally or through its agents. This includes the power to take actions deemed necessary to cure the default, such as actions of forcible entry or detainer and actions in distress of rent.
Additionally, Petro Stopping Center has the authority to cancel or terminate any unauthorized agreements or subleases entered into by the franchisee if those actions would entitle Petro Stopping Center to cancel them. The franchisor can also terminate the franchisee's rights under the Franchise Agreement as of the date of the franchisee's default under the lease, regardless of any conflicting provisions in the Franchise Agreement.