Where in the Canine Dimensions Franchise Agreement are the conditions for termination by the franchisor with cause described?
Canine_Dimensions Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Franchise | Summary |
|---|---|---|
| Agreement | ||
| g. "Cause" defined - curable defaults | Article 14 | Except as described in (h), you have 30 days after notice to cure breaches relating to your: (a) failure to pay any amounts due to us; (b) failure, refusal, or neglect to promptly submit financial or other information we require; (c) fail, refuse, or neglect to spend your required local advertising expenditure; (d) fail, refuse, or neglect to obtain our prior written approval or consent when our consent is required; (e) violation of any provision of the Franchise Agreement concerning the use and protection of the Marks or Confidential Information. You will have 30 days after notice to cure any breaches of the |
| h. "Cause" defined – non curable defaults | Article 14 | Franchise Agreement not listed above or in Section 14.3 Failure to open; abandoning the Franchised Business; conviction of a felony, fraud, a crime involving moral turpitude, theft, animal cruelty, burglary; threat to public health or safety; unapproved transfer; failure to comply with in-term covenants; failure to satisfactorily complete training program; disclosure of confidential information; repeated defaults; bankruptcy, insolvency or appointment of receiver; and others. sheriff, marshal, or constable against your interest in such property; and others. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 28–30)
What This Means (2025 FDD)
According to Canine Dimensions' 2025 Franchise Disclosure Document, the conditions for termination by the franchisor with cause are described in Article 14 of the Franchise Agreement. Canine Dimensions can terminate the agreement if a franchisee breaches a material provision, and this can be done with or without a cure period, depending on the nature of the breach.
Article 14 outlines two categories of defaults that constitute cause for termination: curable and non-curable defaults. Curable defaults allow the franchisee a 30-day period after notice to correct the breach. These include failing to pay amounts due, neglecting to submit required financial information, failing to meet local advertising expenditure requirements, neglecting to obtain prior written approval when required, and violating provisions related to the use and protection of trademarks or confidential information.
Non-curable defaults, also detailed in Article 14, do not offer a cure period and can lead to immediate termination. These defaults include failure to open the franchise, abandoning the business, conviction of a felony or similar crime, threatening public health or safety, unapproved transfer of the franchise, failure to comply with in-term covenants, failure to complete the training program satisfactorily, disclosure of confidential information, repeated defaults, and bankruptcy or insolvency.
Prospective franchisees should carefully review Article 14 of the Canine Dimensions Franchise Agreement to fully understand the circumstances under which Canine Dimensions can terminate the agreement with cause and the implications of both curable and non-curable defaults.