Who pays for the inspection and testing of a proposed supplier for a Petro Stopping Center franchise?
Petro_Stopping_Center Franchise · 2025 FDDAnswer from 2025 FDD Document
We have the right to require that our representatives be permitted to inspect the proposed supplier's facilities and test or evaluate the proposed supplier's product, supplies, service or equipment.
We have the right to request that samples be delivered to us or to an independent testing facility chosen by us.
A charge not to exceed the reasonable cost of the inspection and the actual cost of the test will be paid by you or the supplier.
We will, within thirty (30) days of receipt of a completed request and completion of the evaluation and testing, notify you in writing of our approval or disapproval of the supplier and/or the proposed product, supplies, service or equipment.
Source: Item 14 — Other investments (FDD pages 131–208)
What This Means (2025 FDD)
According to the 2025 Petro Stopping Center Franchise Disclosure Document, the cost of inspecting and testing a proposed supplier can be borne by either the franchisee or the supplier. Specifically, a charge not exceeding the reasonable cost of the inspection and the actual cost of the test will be paid by either the franchisee or the supplier.
This means that if a Petro Stopping Center franchisee wants to use a supplier not already approved by the franchisor, they may have to pay for the inspection and testing of that supplier to ensure they meet Petro Stopping Center's standards. Alternatively, the supplier may agree to cover these costs themselves.
Petro Stopping Center retains the right to inspect the facilities and test the products of any proposed supplier to ensure they meet the brand's standards. This protects the brand's reputation and ensures consistent quality across all franchise locations. The FDD states that Petro Stopping Center will notify the franchisee in writing of the approval or disapproval of the supplier within thirty (30) days of receiving the request and completing the evaluation and testing.