How long after ceasing to be an owner does the geographic restriction apply to an All Dogs Unleashed franchise?
All_Dogs_Unleashed Franchise · 2025 FDDAnswer from 2025 FDD Document
Own, maintain, advise, operate, engage in, be employed by, make loans to, or have any interest in or relationship or association with a Competitive Business that is, or is intended to be, located (i) in the Service Area or within 25-miles of the perimeter of the Service Area; or (ii) within the Service Area of any other ALL DOGS UNLEASHED business in existence or under development at the time of such expiration, termination or transfer.
If any Owner ceases to be an Owner of the Franchisee for any reason during the franchise term, the
foregoing covenant shall apply to the departing Owner for a two-year period beginning on the date such person ceases to meet the definition of an Owner. The obligations described in this Section 15.2 shall be tolled during any period of noncompliance.
Source: Item 23 — RECEIPTS (FDD pages 49–158)
What This Means (2025 FDD)
According to the 2025 All Dogs Unleashed FDD, if an owner ceases to be an owner of the franchisee for any reason during the franchise term, a covenant applies to the departing owner for a two-year period. This two-year period begins on the date the person no longer meets the definition of an owner. During this time, the departing owner is restricted from engaging in a competitive business within a specific geographic area.
The geographic restriction applies to any competitive business that is, or is intended to be, located (i) in the Service Area or within 25-miles of the perimeter of the Service Area; or (ii) within the Service Area of any other All Dogs Unleashed business in existence or under development at the time of such expiration, termination or transfer. This means a former owner cannot operate, advise, or be involved with a competing dog training, grooming, or boarding service within the defined area around any All Dogs Unleashed location.
It's important to note that the obligations described in this section are tolled during any period of noncompliance. This means that if the former owner violates the non-compete agreement, the two-year restriction period may be extended by the length of time they were in violation. This ensures that All Dogs Unleashed is protected from unfair competition from former owners who may have gained knowledge and experience while associated with the franchise.