factual

Does Canine Dimensions guarantee the enforceability of the confidentiality agreement in every jurisdiction?

Canine_Dimensions Franchise · 2025 FDD

Answer from 2025 FDD Document

ADDENDUM TO THE CANINE DIMENSIONS FRANCHISING, LLC DISCLOSURE DOCUMENT AND FRANCHISE AGREEMENT REQUIRED BY THE STATE OF ILLINOIS

Illinois law governs the Franchise Agreement.

In conformance with Section 4 of the Illinois Franchise Disclosure Act, any provision in a franchise agreement that designates jurisdiction and venue in a forum outside of the State of Illinois is void. However, a franchise agreement may provide for arbitration to take place outside of Illinois.

Your rights upon Termination and Non-Renewal of an agreement are set forth in sections 19 and 20 of the Illinois Franchise Disclosure Act.

In conformance with section 41 of the Illinois Franchise Disclosure Act, any condition, stipulation or provision purporting to bind any person acquiring any franchise to waive compliance with the Illinois Franchise Disclosure Act or any other law of Illinois is void.

No statement, questionnaire, or acknowledgment signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or other person acting on behalf of the franchisor. This provision supersedes any other term of any document executed in connection with the franchise.

IN WITNESS WHEREOF, the parties hereto have duly executed, sealed and delivered this Addendum dated this day of, 20 ATTEST CANINE DIMENSIONS FRANCHISING, LLC By: Witness Name: FRANCHISEE:

FOR THE STATE OF IOWA

Any provision in the Franchise Agreement or Franchisee Disclosure Acknowledgement Statement which would require you to prospectively assent to a release, assignment, novation, waiver or estoppel which purports to relieve any person from liability imposed by the Iowa Business Opportunity Promotions Law (Iowa Code Ch. 551A) is void to the extent that such provision violates such law.

Source: Item 22 — CONTRACTS (FDD page 36)

What This Means (2025 FDD)

According to the 2025 FDD, Canine Dimensions does not guarantee the enforceability of the confidentiality agreement in every jurisdiction. The FDD includes state-specific addenda that address the enforceability of certain provisions, including those related to jurisdiction, venue, and waivers, which suggests that the standard agreement may not be fully enforceable in its original form in all states. For example, the addendum for Illinois states that any provision designating jurisdiction and venue outside of Illinois is void, although arbitration outside of Illinois may be permitted. Similarly, Iowa's addendum notes that any provision requiring prospective assent to a release or waiver that relieves liability imposed by Iowa law is void to the extent it violates such law.

These state-specific addenda indicate that the enforceability of the confidentiality agreement and other provisions can vary significantly depending on the jurisdiction. This is a common practice in franchising, as state laws often have specific regulations that can override or modify the standard franchise agreement terms. The presence of these addenda highlights the importance of franchisees understanding the specific legal requirements in their state.

For a prospective Canine Dimensions franchisee, this means they should carefully review the state-specific addendum (if any) for their state and consult with an attorney to understand the implications for their franchise agreement. They should not assume that the standard terms of the agreement are fully enforceable without considering these state-specific modifications. It would be prudent to discuss with Canine Dimensions what steps they take to ensure compliance with varying state laws and what support they provide to franchisees in navigating these legal complexities.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.