Does All Dogs Unleashed have sole discretion in how Brand Development Fund monies are used?
All_Dogs_Unleashed Franchise · 2025 FDDAnswer from 2025 FDD Document
Fund**"). If the Fund is established, Franchisee will be required to contribute to the Fund an amount that Franchisor determines from time to time, not to exceed the amount stated on the Summary Page.
- 9.3.1. Franchisor has the right to use Fund monies, in its sole discretion, to pay for creative development services (including creation and modification of Facility design and trade dress, logos, graphics and vehicle wraps, and advertising and promotional items, including the cost of photography services and design software); preparing and procuring market studies, providing or obtaining marketing services (including, conducting customer surveys, focus groups, and marketing and compliance-related mystery shops and customer interviews); employing advertising and/or public relations agencies; developing, producing, distributing, and placing advertising (including, without limitation, preparing and conducting media advertising campaigns in various media, local Facility advertising and promotion in a particular area or market, or for the benefit of a particular Franchised Business or Franchised Businesses concerning franchise opening promotion or otherwise, conducting and administering in-Facility promotions; preparing and executing direct mail advertising, and developing, producing, and purchasing point-of-sale advertising, and other sales aids and promotional items and materials); new product development and development of product packaging; developing, updating, and hosting our web site (including development of locator programs) and/or an intranet or extranet system; obtaining sponsorships and endorsements; preparing and conducting sweepstakes and other promotions; developing, administering, and distributing coupons, gift certificates, stored value card and loyalty card programs, and customized promotions, and the cost of product associated with the redemption of free coupons, gift certificates, stored value cards, loyalty cards, and/or other customized promotions; developing and administering other customer loyalty programs; developing and administering online booking and reservation platforms; providing and procuring public relations services; conducting public relations activities; charitable donations; membership fees in international, national, regional, and/or local trade or other associations or
organizations. Franchisor also may use Fund monies to reimburse itself for its costs of personnel and other administrative and overhead costs associated with providing the services described in this Section.
- 9.3.2. The parties acknowledge that Franchisor owns all rights, and retains all copyrights, in all design and content developed using Fund monies, and that Franchisor will have sole control over the creative concepts, content, form, and media placement of all advertising and promotional materials developed with Fund monies, and the allocations of Fund monies to production, placement, and other costs. Franchisor will own all copyright in any works created using Fund monies.
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 use Brand Development Fund monies at its sole discretion. These funds can be used for various purposes, including creative development services such as facility design, logos, graphics, vehicle wraps, advertising, and promotional items. The funds may also cover market studies and marketing services like customer surveys and focus groups. All Dogs Unleashed can also use the funds to cover its personnel and administrative overhead costs related to these services.
All Dogs Unleashed owns all rights and copyrights to any designs and content developed using the Brand Development Fund. They have complete control over the creative concepts, content, form, media placement, and allocation of funds for production, placement, and other related costs. While the fund is intended to be perpetual, All Dogs Unleashed can terminate it at any time, provided all the money has been spent or returned to the contributors based on their contributions.
Although franchisees contribute to the Brand Development Fund, All Dogs Unleashed is not obligated to spend the funds specifically in the franchisee's trading area or ensure that the franchised business directly benefits from the fund's expenditure. The FDD states that All Dogs Unleashed has no fiduciary duty to the franchisee regarding the collection or expenditure of fund monies. However, upon a franchisee's reasonable request, All Dogs Unleashed will provide an annual statement of fund contributions and expenditures.
This arrangement means that while franchisees are required to contribute to the Brand Development Fund, All Dogs Unleashed has significant control over how those funds are spent, and there is no guarantee that the franchisee will see a direct benefit from those expenditures. Prospective franchisees should consider this when evaluating the costs and benefits of investing in an All Dogs Unleashed franchise.