Where is the 'Development Area' for a Dog Haus franchise designated?
Dog_Haus Franchise · 2025 FDDAnswer from 2025 FDD Document
under this Agreement, the form of which may differ from the form of Dog Haus Franchise Agreement attached to Franchisor's Franchise Disclosure Document (the "Disclosure Document") provided to Area Developer prior to the Effective Date.
- Exclusive License. Except as otherwise provided in this Section 2.2 and in Section 2.4, the rights granted to Area Developer under this Agreement are exclusive during the Term so long as Area Developer is in Good Standing and neither Franchisor nor any of its Affiliates shall themselves develop, open and operate, or grant third parties the right to develop, open and operate, Dog Haus Restaurants in the Development Area during the Term. Area Developer acknowledges the Development Area may be subject to pre-existing franchises granted prior to the Effective Date. The Development Area will not contain any areas granted to other franchisees prior to the Effective Date. Existing franchisees may renew or transfer the franchise rights previously granted to them under their Area Development Agreements or Franchise Agreements.
- Adherence to Development Schedule. Area Developer shall satisfy the Minimum Development Obligation by Opening the number of Dog Haus Restaurants in the Development Area within each Development Period as required by the Development Schedule set forth on Exhibit A and by continuing to operate the cumulative number of Dog Haus Restaurants required by the Minimum Development Obligation. Failure to comply with the Development Schedule shall constitute a Default under this Agreement and shall entitle Franchisor to terminate this Agreement, unless the Default results from an event of Force Majeure, in which case, the deadline to Opening a Dog Haus Restaurant may be extended by Franchisor as provided in Section 2.7.
- Rights Reserved by Franchisor. Except as expressly provided in Section 2.2, Franchisor expressly reserves all other rights, including the exclusive, unrestricted right, in its discretion, directly and indirectly, through its
employees, Affiliates, representatives, licensees, assigns, agents and others, to (i) develop, own and operate, and to grant franchises to third parties to develop, open and operate, Dog Haus Restaurants outside the Development Area, regardless of their proximity to the Development Area; (ii) develop, open and operate, and to grant franchises to third parties to develop, open and operate any other business, including a beverage and snack or food business, other than a Competitive Business, under marks and systems different from the Dog Haus Marks and the Dog Haus System within and outside the Development Area; (iii) sell or distribute, at retail or wholesale, directly or indirectly, or license others to sell or distribute, Dog Haus Branded Products and Dog Haus Proprietary Products within and outside the Development Area, through the Internet, mail order catalogs, direct mail advertising, catering and through other distribution methods; (iv) deliver and cater and/or to license to other Dog Haus Restaurants or third parties to deliver and cater at any location within or outside of the Development Area without compensation to Area Developer, and to establish a delivery and Catering Services policy in the future which may restrict the delivery and Catering Services jurisdiction of Franchisor or of any Dog Haus Area Developers; (v) market on the Internet and use the Dog Haus Marks on the Internet, including all use of web sites, domain names, URLs, directory addresses, email addresses, metatags, linking, advertising, co-branding and other arrangements, and in all other forms of electronic media; (vi) open or operate and to franchise or license others to open or operate Dog Haus Restaurants at any Non-Traditional Venue within and outside of the Development Area regardless of their proximity to any Dog Haus Restaurants developed or under development by Area Developer;
Source: Item 23 — RECEIPTS (FDD pages 87–328)
What This Means (2025 FDD)
According to Dog Haus's 2025 Franchise Disclosure Document, the specific details of the Development Area, including the Development Schedule, are outlined in Exhibit A of the Area Development Agreement. The Area Developer is obligated to open a certain number of Dog Haus restaurants within the Development Area, adhering to the schedule specified in Exhibit A. Failing to meet these development milestones can result in the termination of the agreement, unless the failure is due to unforeseen circumstances beyond the Area Developer's control.
The Area Developer secures exclusive rights within the Development Area, preventing Dog Haus from establishing or franchising other Dog Haus restaurants in that territory during the agreement's term, provided the Area Developer remains in good standing. However, the Development Area might include pre-existing franchises granted before the current agreement's effective date. Existing franchisees retain the right to renew or transfer their previously granted franchise rights.
Dog Haus retains specific rights, even within the Development Area. They can market on the Internet, use Dog Haus Marks online, operate or franchise Dog Haus restaurants at Non-Traditional Venues, and acquire businesses providing similar products or services. These activities can occur within or outside the Development Area, regardless of proximity to the Area Developer's Dog Haus restaurants.