What is the role of the 'Responsible Owner' in an All Dogs Unleashed franchise agreement?
All_Dogs_Unleashed Franchise · 2025 FDDAnswer from 2025 FDD Document
| ave read and that you understand the terms of this Agreement | |
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| and its attachments, and that you have had ample time and opportunity to consult with an attorney or | |
| business advisor of your choice about the potential risks and benefits of entering into this Agreement. |
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- I own a beneficial interest in the Franchisee and would be considered an "Owner" within the definition contained in the Franchise Agreement.
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- I understand that, were it not for this Personal Guaranty and Undertaking (the "Guaranty"), Franchisor would not have agreed to enter into the Franchise Agreement with the Franchisee.
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- I will comply with the provisions contained in Article 7 of the Franchise Agreement concerning the Franchisee's use of Franchisor's Marks and Copyrighted Works (as each term is defined in the Franchise Agreement). I understand that, except for the license granted to the Franchisee, I have no individual right to use the Marks or Copyrighted Works, and I have no ownership interest in the Marks or Copyrighted Works.
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- I will comply with all of the provisions contained in Article 8 of the Franchise Agreement concerning the use of the Confidential Information. I will maintain the confidentiality of all Confidential Information disclosed to me. I agree to use the Confidential Information only for the purposes authorized under the Franchise Agreement. I further agree not to disclose any of the Confidential Information, except (a) to the Franchisee's employees on a need-to-know basis, (b) to the Franchisee's and my legal and tax professionals to the extent necessary for me to meet my legal obligations, and (c) as otherwise may be required by law.
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- I will comply with all of the provisions contained in Article 12 of the Franchise Agreement concerning the transfer of my ownership interest in the Franchisee.
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- While I am an Owner of the Franchisee and, for a two-year period after I cease to be an Owner (or two years after termination or expiration (without renewal) of the Franchise Agreement, whichever occurs first), I will not:
- (a) Divert or attempt to divert any present or prospective customer of the ALL DOGS UNLEASHED franchised business to any competitor, by direct or indirect inducement or otherwise, provide dog training, grooming, or boarding 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;
- (b) Employ or seek to employ any person who is or has been within the previous 30 days employed by Franchisor or an Affiliate of Franchisor as a salaried managerial employee, or induce such person to leave his or her employment; or
- (c) Own, maintain, advise, operate, engage in, be employed by, make loans to, invest in, provide any assistance to, or have any interest in (as owner or otherwise) or relationship or association with, any business that provides dog training, grooming, or boarding services other than a ALL DOGS UNLEASHED franchised business operated pursuant to a then-currently effective franchise agreement. This restriction shall apply, while I am an Owner, to any location within the United States, its territories or commonwealths, or any other country, province, state or geographic area in which Franchisor or its Affiliates have used, sought registration of or registered the Marks or similar marks or operate or license others to operate a business under the Marks or similar marks.
Source: Item 23 — RECEIPTS (FDD pages 49–158)
What This Means (2025 FDD)
According to the 2025 All Dogs Unleashed Franchise Disclosure Document, an 'Owner' is defined as someone who owns a beneficial interest in the Franchisee. The document emphasizes several key responsibilities and restrictions placed upon these Owners.
Owners must comply with Article 7 of the Franchise Agreement, which concerns the use of All Dogs Unleashed's Marks and Copyrighted Works. They have no individual right to use these Marks or Copyrighted Works, except for the license granted to the Franchisee, and they have no ownership interest in them. Owners must also adhere to Article 8 regarding the use of Confidential Information, ensuring its confidentiality and using it only for authorized purposes under the Franchise Agreement. Disclosure of Confidential Information is limited to the Franchisee's employees on a need-to-know basis, legal and tax professionals, or as required by law. Additionally, Owners must comply with Article 12 of the Franchise Agreement concerning the transfer of their ownership interest in the Franchisee.
While an Owner of the Franchisee, and for two years after ceasing to be an Owner, they are restricted from diverting customers to competitors, providing dog training, grooming, or boarding services to customers or former customers of the Franchised Business, or harming the goodwill associated with the Marks and the System. They are also prohibited from engaging in or having an interest in any business providing dog training, grooming, or boarding services within the Service Area or within 25 miles of any All Dogs Unleashed business. This restriction does not apply to ownership of less than five percent beneficial interest in the outstanding securities of any publicly held corporation.
Furthermore, if an Owner develops any new concept, process, or improvement related to the operation or promotion of an All Dogs Unleashed business, they must promptly notify All Dogs Unleashed and provide all necessary related information without compensation. Any such Improvement becomes All Dogs Unleashed's sole property, and All Dogs Unleashed owns all related patents and intellectual property rights. The Owners assign any rights they may have in the Improvements to All Dogs Unleashed and agree to assist in obtaining and enforcing intellectual property rights. These stipulations ensure the protection of All Dogs Unleashed's brand, system, and confidential information, and prevent unfair competition from those with inside knowledge of the franchise operations.