Under what conditions can Canine Dimensions reduce the scope of a covenant in Section 16.2?
Canine_Dimensions Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee understands and acknowledges that Franchisor shall have the right, in its sole discretion, to reduce the scope of any covenant in Section 16.2, or any portion of it, without Franchisee's consent, effective immediately upon receipt by Franchisee of written notice of a reduction; and Franchisee agrees that it will immediately begin complying with any covenant as so modified, which shall be fully enforceable notwithstanding the provisions of Article 21.
Source: Item 22 — CONTRACTS (FDD page 36)
What This Means (2025 FDD)
According to Canine Dimensions's 2025 Franchise Disclosure Document, Canine Dimensions has the right to reduce the scope of any covenant in Section 16.2 of the franchise agreement. This reduction can be made at Canine Dimensions's sole discretion, meaning they do not need the franchisee's permission to make such changes.
The reduction becomes effective immediately once the franchisee receives written notice from Canine Dimensions. The franchisee is then obligated to comply with the modified covenant right away.
This modification is fully enforceable, regardless of what Article 21 states. This means that Canine Dimensions can alter the franchisee's obligations under Section 16.2, and the franchisee must adhere to the changes as soon as they are notified in writing.