How are terms in the All Dogs Unleashed franchise agreement to be interpreted?
All_Dogs_Unleashed Franchise · 2025 FDDAnswer from 2025 FDD Document
n of the Franchise Agreement, whichever occurs first). This restriction will be tolled during any period of my noncompliance.
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- I agree that each of the foregoing covenants shall be construed as independent of any other covenant or provision of this Guaranty. If all or any portion of a covenant in this Guaranty is held unreasonable or unenforceable by a court or agency having valid jurisdiction in an un-appealed 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 Guaranty.
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- 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 Guaranty, 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.
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- I hereby guarantee the prompt and full payment of all amounts owed by the Franchisee under the Franchise Agreement. I will pay all amounts due under this Guaranty within 14 days after receiving notice from Franchisor that the Franchisee has failed to make the required payment.
Source: Item 23 — RECEIPTS (FDD pages 49–158)
What This Means (2025 FDD)
According to the 2025 All Dogs Unleashed Franchise Disclosure Document, if any part of a covenant within the Guaranty agreement is deemed unreasonable or unenforceable by a court or agency with jurisdiction, the franchisee expressly agrees to be bound by a lesser covenant. This lesser covenant would impose the maximum duty permitted by law, as if it were originally part of the Guaranty agreement. This ensures that even if specific terms are challenged, the franchisee remains obligated to the fullest extent legally possible.
Similarly, the 2025 FDD states that the confidentiality agreement contains a similar clause. If any part of a covenant in the Confidentiality Agreement is held unreasonable or unenforceable by a court or agency, the franchisee agrees to be bound by any lesser covenant. This lesser covenant would impose the maximum duty permitted by law, as if the resulting covenant were separately stated in and made a part of the Confidentiality Agreement.
All Dogs Unleashed also has the right to reduce the scope of any covenant in the Confidentiality Agreement, or any portion thereof, without the franchisee's consent. This change becomes effective immediately upon the franchisee receiving written notice. The franchisee must then comply with the covenant as modified. This clause grants All Dogs Unleashed significant flexibility to adjust the restrictions placed on the franchisee during and after the franchise term.