Do the agreements, covenants, representations, and warranties made in the assignment survive the execution of the assignment for All Dogs Unleashed?
All_Dogs_Unleashed Franchise · 2025 FDDAnswer from 2025 FDD Document
- 9.6 Survival of Covenants. The covenants in this Agreement that, by their terms, require performance by the parties after the expiration or termination of this Agreement, will be enforceable notwithstanding the expiration or other termination of this Agreement for any reason whatsoever.
Source: Item 23 — RECEIPTS (FDD pages 49–158)
What This Means (2025 FDD)
Based on the 2025 All Dogs Unleashed Franchise Disclosure Document, the franchise agreement contains a clause addressing the survival of covenants. Specifically, covenants within the agreement that necessitate performance by either party even after the agreement's expiration or termination will remain enforceable, regardless of the reason for termination.
This means that certain obligations and promises made within the franchise agreement, such as those related to confidentiality, non-competition, or payment obligations, may continue to bind the franchisee or franchisor even after the franchise relationship ends. This ensures that both parties remain accountable for their commitments, even after the agreement is no longer active.
For a prospective All Dogs Unleashed franchisee, this clause highlights the importance of carefully reviewing all covenants within the franchise agreement. It is crucial to understand which obligations will extend beyond the term of the agreement and to assess the potential long-term implications of these covenants. Franchisees should seek legal counsel to fully understand their rights and responsibilities in this regard.