Under what conditions can Canine Dimensions terminate the Franchise Agreement with cause?
Canine_Dimensions Franchise · 2025 FDDAnswer from 2025 FDD Document
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| 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. |
| i. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 28–30)
What This Means (2025 FDD)
According to Canine Dimensions's 2025 Franchise Disclosure Document, Canine Dimensions can terminate the Franchise Agreement with cause if the franchisee breaches a material provision of the agreement. In some cases, the franchisee will have an opportunity to correct the breach, while in other cases, Canine Dimensions can terminate the agreement immediately.
Curable defaults, where the franchisee has 30 days to correct the issue after receiving notice, include: failure to pay amounts due to Canine Dimensions; failure to submit required financial or other information; failure to spend the required local advertising expenditure; failure to obtain prior written approval or consent when required; and violation of any provision concerning the use and protection of the Canine Dimensions's marks or confidential information.
Non-curable defaults, which allow Canine Dimensions to terminate the agreement without giving the franchisee an opportunity to correct the issue, include: failure to open the franchised business; abandoning the franchised business; conviction of a felony, fraud, a crime involving moral turpitude, theft, animal cruelty, or burglary; threat to public health or safety; unapproved transfer of the franchise; failure to comply with in-term covenants; failure to satisfactorily complete the training program; disclosure of confidential information; repeated defaults; and bankruptcy, insolvency or appointment of a receiver.
Prospective franchisees should carefully review Article 14 of the Franchise Agreement, as referenced in Item 17 of the FDD, to fully understand the specific conditions that could lead to termination and the procedures Canine Dimensions must follow. Understanding these conditions is crucial for maintaining a successful and compliant franchise operation.