Is there a confidentiality and non-competition agreement attached to the All Dogs Unleashed Franchise Agreement?
All_Dogs_Unleashed Franchise · 2025 FDDAnswer from 2025 FDD Document
erein, have been blocked pursuant to Executive Order 13224 of September 23, 2001, | | | pertaining to persons who commit, threaten to commit, or support terrorism (“Blocked Persons”). You | | | represent and warrant to Franchisor that you will not accept money from or employ any Blocked Person. | | person, partnership, corporation, or other limited liability company:
thereafter, either directly or indirectly, for myself or through, on behalf of, or in conjunction with any other
UNLEASHED Franchised Business to any competitor, by direct or indirect inducement or otherwise,
(a) Divert or attempt to divert any present or prospective customer of the ALL DOGS
provide dog training, boarding, or grooming 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, or
- (b) Own, maintain, engage in, be employed by, advise, assist, invest in, franchise, make loans to, or have any interest in any business providing dog training, grooming, or boarding services within the Service Area, or within 25 miles of the perimeter of the Service Area, of any ALL DOGS UNLEASHED business, or the Franchisee's Service Area or within 25 miles of the perimeter of the Franchisee's Service Area, as that term is defined in the Franchise Agreement. This restriction does not apply to my ownership of less than five percent beneficial interest in the outstanding securities of any publicly held corporation.
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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 Confidentiality Agreement. If all or any portion of a covenant in this Confidentiality Agreement is held unreasonable or unenforceable by a court or agency having valid jurisdiction in an unappealed 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 Confidentiality Agreement.
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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 Confidentiality Agreement, 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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- Franchisor is a third-party beneficiary of this Confidentiality Agreement and may enforce it, solely and/or jointly with the Franchisee. I am aware that my violation of this Confidentiality Agreement will cause Franchisor and the Franchisee irreparable harm; therefore, I acknowledge and agree that the Franchisee and/or Franchisor may apply for the issuance of an injunction preventing me from violating this Confidentiality Agreement, and I agree to pay the Franchisee and Franchisor all the costs it/they incur(s), including, without limitation, legal fees and expenses, if this Confidentiality Agreement is enforced against me.
Source: Item 22 — CONTRACTS (FDD pages 48–49)
What This Means (2025 FDD)
According to the 2025 All Dogs Unleashed Franchise Disclosure Document, the franchisee is subject to certain confidentiality and non-competition covenants. The franchisee is prohibited from diverting or attempting to divert customers from the All Dogs Unleashed franchised business to any competitor, whether directly or indirectly. They cannot provide dog training, boarding, or grooming services to customers or former customers of the franchised business, or take any actions that could harm the goodwill associated with the All Dogs Unleashed marks and system.
Specifically, the franchisee is restricted from owning, maintaining, engaging in, being employed by, advising, assisting, investing in, franchising, making loans to, or having any interest in any business providing dog training, grooming, or boarding services. This restriction applies within the franchisee's service area and extends to 25 miles beyond the perimeter of the service area, as well as within 25 miles of any other All Dogs Unleashed business. An exception exists for ownership of less than five percent beneficial interest in the outstanding securities of any publicly held corporation.
The confidentiality agreement specifies that each covenant is independent. If any part of the agreement is deemed unenforceable, the franchisee agrees to be bound by a lesser covenant that imposes the maximum duty permitted by law. All Dogs Unleashed has the right to reduce the scope of any covenant without the franchisee's consent, effective immediately upon written notice. All Dogs Unleashed is a third-party beneficiary of the Confidentiality Agreement and can enforce it jointly or solely with the franchisee.
Furthermore, the franchise agreement states that the waiver of punitive, multiple, and/or exemplary damages does not apply to claims brought by All Dogs Unleashed against the franchisee for unauthorized use of the Marks, unauthorized use or disclosure of any Confidential Information, unfair competition, or breach of confidentiality or non-competition covenants. In such cases, All Dogs Unleashed is entitled to receive an award of multiple damages, attorneys' fees, and all damages as provided by law.