If an All Dogs Unleashed franchisee or owner is convicted of a felony, can the franchise be terminated?
All_Dogs_Unleashed Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisor has the right to terminate this Agreement, which termination will become effective upon delivery of notice without opportunity to cure, if: (a) your Operating Principal, General Manager, or Assistant Manager fails to successfully complete the initial training program; (b) you fail to acquire a site within the required time period (c) you fail to begin operations by the Projected Opening Date; (d) you abandon the Franchised Business (which will be presumed if you cease operations for five consecutive business days); (e) you lose any license required to operate the Franchised Business or you lose your right to occupy the Facility premises and fail to relocate the Facility in accordance with Section 3.5.; (f) you or any Owner is convicted of, or pleads no contest to, a felony, a crime involving moral turpitude, or any other crime or offense that Franchisor believes is reasonably likely to have an adverse effect on the System; (g) there is any transfer or attempted transfer in violation of Article 12 of this Agreement; (h) you or any Owner fails to comply with the confidentiality obligations in Section 8.3 or any of the covenants in Article 15; or (i) you or any Owner has made any material misrepresentations in connection with your franchise application; (j) if we determine that you have engaged in cruelty or neglect of animals, or if an imminent threat or danger to public health or human or animal safety results from the operation of the Franchised Business; (k) if you misrepresent the amount of Gross Sales reported to Franchisor or you knowingly maintain false books or records; (l) you misuse the Marks or Copyrighted Works; (m) you offer unauthorized products or services; (n) you purchase items from unapproved sources; (o) you fail to pass two or more quality assurance inspections in any rolling 12 month period; or (p) Franchisor delivers to you two or more written notices of default pursuant to this Article 13 within any rolling 12-month period, whether or not the defaults described in such notices ultimately are cured.
Source: Item 23 — RECEIPTS (FDD pages 49–158)
What This Means (2025 FDD)
According to the 2025 All Dogs Unleashed Franchise Disclosure Document, All Dogs Unleashed has the right to terminate the franchise agreement, which becomes effective immediately upon delivering notice without an opportunity to cure the issue, if a franchisee or any owner is convicted of a felony. This also applies if the franchisee or owner pleads no contest to a felony, a crime involving moral turpitude, or any other crime or offense that All Dogs Unleashed believes is reasonably likely to have an adverse effect on the All Dogs Unleashed system.
This policy is fairly standard within the franchise industry, as criminal convictions can significantly impact the reputation and operation of a franchise. The immediate termination without a chance to correct the issue highlights the seriousness with which All Dogs Unleashed views such convictions. This protects the brand and other franchisees within the All Dogs Unleashed system.
For a prospective All Dogs Unleashed franchisee, this means that maintaining a clean criminal record is essential for both the franchisee and any owners involved in the business. Any past or future felony convictions or pleas could jeopardize the franchise agreement and result in immediate termination. Franchisees should ensure all owners and managers are aware of this policy and conduct themselves accordingly to avoid potential termination of the All Dogs Unleashed franchise agreement.