What happens if I fail to report my Petro Stopping Center's Gross Sales to Petro Stopping Center?
Petro_Stopping_Center Franchise · 2025 FDDAnswer from 2025 FDD Document
If you have not reported the Petro Center's Gross Sales to us for any reporting period, we may transfer from the Account an amount calculated in accordance with our reasonable estimate of the Petro Center's Gross Sales during any such reporting period.
If we determine at any time that you have under-reported Gross Sales or underpaid Royalties or other amounts due to us, we will be authorized to immediately initiate a transfer from the Account in the appropriate amount in accordance with the foregoing procedures, including applicable interest and late charges.
Any overpayment will be credited to the Account through a credit, effective as of the first Report Day after you and we determine that such credit is due.
- 9.11 Interest on Late Payments.
All amounts which you owe us, including but not limited to all amounts due under this Agreement or under any other agreement between us or our Affiliates and you, will bear interest automatically and without notice from us, after their due date at the annual rate of eighteen 18% or the highest contract rate of interest permitted by law, whichever is less.
You acknowledge that we do not agree to accept any payments after they are due nor commit to extend credit to, or otherwise finance your operation of, the Petro Center.
Your failure to pay all amounts when due constitutes grounds for termination of this Agreement.
- 9.12 Application of Payments.
Notwithstanding any designation you might make, we have sole discretion to apply any of your payments to any of your past due indebtedness to us, including interest.
- 9.13 Payment Offsets.
We may setoff from any amounts that we may owe you any amount that you owe to us, or our Affiliates, for any reason whatsoever, including without
limitation, Royalties, Monthly Advertising Fees, and late payment interest, amounts owed to us or our Affiliates for purchases of Products or Services, or for any other reason.
Payments that we make to you may be reduced, in our discretion, by amounts that you owe to us or our Affiliates from time to time.
In particular, we may retain (or direct to our Affiliates) any amounts that we have received for your account as a credit and payment against any amounts that you may owe to us, or our Affiliates, at any time.
We may do so without notice to you at any time.
Source: Item 14 — Other investments (FDD pages 131–208)
What This Means (2025 FDD)
According to Petro Stopping Center's 2025 Franchise Disclosure Document, if a franchisee fails to report their Petro Center's Gross Sales for any reporting period, Petro Stopping Center has the right to transfer an amount from the franchisee's account. This amount will be calculated based on Petro Stopping Center's reasonable estimate of the Petro Center's Gross Sales during the unreported period.
Furthermore, if Petro Stopping Center determines that a franchisee has under-reported Gross Sales or underpaid Royalties or other amounts due, they are authorized to immediately initiate a transfer from the franchisee's account. This transfer will include the appropriate amount, along with applicable interest and late charges. All amounts owed to Petro Stopping Center, including those under the Franchise Agreement or any other agreement with Petro Stopping Center or its affiliates, will bear interest automatically from the due date at an annual rate of 18% or the highest contract rate permitted by law, whichever is less.
Petro Stopping Center has sole discretion to apply any payments received to any past due indebtedness, including interest, regardless of any designation the franchisee might make. Additionally, Petro Stopping Center may set off any amounts owed to the franchisee against any amount the franchisee owes to Petro Stopping Center or its affiliates for any reason, including Royalties, Monthly Advertising Fees, late payment interest, or amounts owed for purchases of Products or Services. Payments made to the franchisee may be reduced by amounts the franchisee owes to Petro Stopping Center or its affiliates, and Petro Stopping Center may retain amounts received for the franchisee's account as a credit and payment against any amounts owed, without notice.