What form is the confidentiality and non-compete agreement in for All Dogs Unleashed?
All_Dogs_Unleashed Franchise · 2025 FDDAnswer from 2025 FDD Document
thereafter, either directly or indirectly, for myself or through, on behalf of, or in conjunction with any other
UNLEASHED Franchised Business to any competitor, by direct or indirect inducement or otherwise,
(a) Divert or attempt to divert any present or prospective customer of the ALL DOGS
provide dog training, boarding, or grooming services to any customer or former customer of the Franchised Business, or do anything to harm the goodwill associated with the Marks and the System, or
- (b) Own, maintain, engage in, be employed by, advise, assist, invest in, franchise, make loans to, or have any interest in any business providing dog training, grooming, or boarding services within the Service Area, or within 25 miles of the perimeter of the Service Area, of any ALL DOGS UNLEASHED business, or the Franchisee's Service Area or within 25 miles of the perimeter of the Franchisee's Service Area, as that term is defined in the Franchise Agreement.
This restriction does not apply to my ownership of less than five percent beneficial interest in the outstanding securities of any publicly held corporation.
I agree that each of the foregoing covenants shall be construed as independent of any other covenant or provision of this Confidentiality Agreement.
If all or any portion of a covenant in this Confidentiality Agreement is held unreasonable or unenforceable by a court or agency having valid jurisdiction in an unappealed final decision to which Franchisor is a party, I expressly agree to be bound by any lesser covenant subsumed within the terms of such covenant that imposes the maximum duty permitted by law, as if the resulting covenant were separately stated in and made a part of this Confidentiality Agreement.
I understand and acknowledge that Franchisor shall have the right, in its sole discretion, to reduce the scope of any covenant set forth in this Confidentiality Agreement, or any portion thereof, without my consent, effective immediately upon my receipt of written notice thereof, and I agree to comply forthwith with any covenant as so modified.
Franchisor is a third-party beneficiary of this Confidentiality Agreement and may enforce it, solely and/or jointly with the Franchisee.
Source: Item 15 — OBLIGATION TO PARTICIPATE IN THE ACTUAL OPERATION OF THE FRANCHISED BUSINESS (FDD pages 29–30)
What This Means (2025 FDD)
According to the 2025 All Dogs Unleashed FDD, the confidentiality and non-compete obligations are detailed within a 'Confidentiality Agreement.' This agreement outlines the restrictions and responsibilities of the franchisee regarding sensitive information and competitive activities.
The Confidentiality Agreement specifies that franchisees are prohibited from diverting customers from the All Dogs Unleashed business or harming the goodwill associated with the brand. It also restricts franchisees from engaging in or having an interest in any business providing similar dog training, grooming, or boarding services within the franchisee's service area or within 25 miles of any All Dogs Unleashed business. A notable exception exists for ownership of less than five percent beneficial interest in publicly held corporations.
The agreement emphasizes the independence of each covenant within it, ensuring that if any part is deemed unenforceable, the remaining provisions still hold. All Dogs Unleashed retains the right to modify the scope of any covenant in the agreement with written notice to the franchisee. Furthermore, All Dogs Unleashed is designated as a third-party beneficiary of the Confidentiality Agreement, granting them the authority to enforce it either independently or jointly with the franchisee, highlighting the importance of these protections for the franchisor.