Does the Dog Haus Area Development Agreement disclaim representations made in the franchise disclosure document?
Dog_Haus Franchise · 2025 FDDAnswer from 2025 FDD Document
ay not have the financial resources to provide services or support to you.
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- Item 5 of the Franchise Disclosure Document is amended as follows:
- "Despite the payment provisions in this Item 5, all initial fees and payments due to us will be deferred until the first business day following the date that we have completed all of our material initial obligations to you under the Franchise Agreement or Area Development Agreement and you begin to conduct business at the first Dog Haus Restaurant, at which time all initial fees and payments will become immediately due and payable. The Hawaii Department of Commerce and Consumer Affairs has imposed the fee deferral requirement because of our financial condition."
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- No statement, questionnaire, or acknowledgement signed or agreed to by a franchise 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 franchisor. This provision supersedes any other term of any document executed in connection with the franchise.
HAWAII ADDENDUM TO FRANCHISE AGREEMENT
| Year ending December 31, | | |---|---| | 2025 | $34,280 | Title: _____
Title: _____
HAWAII ADDENDUM TO AREA DEVELOPMENT AGREEMENT
Development Agreement (the "Area Development DOG HAUS WORLDWIDE, LLC, a Ca ent Agreement") dated, by and between alifornia limited liability company, as Franchisor, and oper. Where and to the extent that any of the provisions of this Addendum are contrary to, in conflict with or inc onsistent with any provision contained in the Area Development ddendum shall control. Defined terms contained in the Area 1.
Source: Item 23 — RECEIPTS (FDD pages 87–328)
What This Means (2025 FDD)
According to the 2025 Dog Haus Franchise Disclosure Document, the Illinois Addendum explicitly states that by reading the disclosure document, the reader is not agreeing to, acknowledging, or making any representations whatsoever to Dog Haus and its affiliates. This amendment is made in recognition of the requirements of the Illinois Franchise Disclosure Act of 1987.
Additionally, the Hawaii Addendum addresses compliance with state franchise law, including fraud in connection with the commencement of the franchise relationship. It stipulates that any acknowledgement signed or agreed to by a franchisee shall not waive any claims under any applicable state franchise law, including fraud in the inducement, or disclaim reliance on any statement made by a person acting on behalf of Dog Haus. This provision supersedes any other agreements made in connection with the franchise.
These addenda serve to protect the franchisee's rights under specific state laws, ensuring that franchisees in Illinois are not bound by any representations simply by reading the disclosure document and that franchisees in Hawaii retain their rights regarding claims of fraud or misrepresentation. Prospective Dog Haus franchisees should carefully review these addenda, along with the entire FDD, and consult with legal counsel to fully understand their rights and obligations under the Area Development Agreement and applicable state laws.