What rights does Petro Stopping Center have when assigning its option to purchase my Petro Stopping Center?

According to Petro Stopping Center's 2025 Franchise Disclosure Document, Petro Stopping Center has the unrestricted right to assign its option to purchase your Petro Center. This means that if Petro Stopping Center decides to exercise its option to purchase your location upon termination or expiration of the franchise agreement, they are not obligated to complete the purchase themselves. They can transfer this right to another party without any limitations.

This assignment right is significant for a prospective franchisee because it introduces uncertainty about who the ultimate buyer of their Petro Center might be. It could be another company, an investor, or any other entity that Petro Stopping Center chooses. The franchisee will be required to fulfill the obligations of the sale to whomever Petro Stopping Center assigns the purchase option.

When Petro Stopping Center or its assignee exercises the option to purchase the Petro Center, the purchase price will be the fair market value of the Petro Center, excluding any goodwill associated with the franchise, trademarks, or the Petro Stopping Center system. The franchisee is entitled to customary warranties and representations in connection with the asset purchase, including assurances about the ownership, condition, and title to assets, as well as the validity of contracts and agreements. This valuation method and the inclusion of standard warranties aim to protect the franchisee's interests during the sale, regardless of who the purchaser is.