What fees must a Dog Haus Franchisee pay when requesting consent to relocate the Franchised Restaurant?
Dog_Haus Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee shall pay Franchisor a Relocation Fee when Franchisee requests Franchisor's consent to a relocation of the Franchised Restaurant.
If Franchisor consents to a relocation, Franchisee shall de-identify the former Franchised Location in the manner described in Section 17.1 and shall reimburse and indemnify and hold Franchisor harmless from any direct and indirect losses, costs and expenses, including attorneys' fees, arising out of Franchisee's failure to do so.
If Franchisor consents to a relocation of the Franchised Restaurant during the Term, Franchisee shall have twelve (12) months from the date of Franchisor's approval of the new Franchised Location to secure the new Franchised Location and to Open and operate the Franchised Restaurant at the new Franchised Location.
Source: Item 22 — CONTRACTS (FDD page 87)
What This Means (2025 FDD)
According to Dog Haus's 2025 Franchise Disclosure Document, a franchisee must pay a Relocation Fee when requesting the franchisor's consent to relocate their franchised restaurant. The FDD does not specify the amount of this Relocation Fee.
If Dog Haus consents to the relocation, the franchisee is obligated to de-identify the former location as described in Section 17.1 of the franchise agreement. Additionally, the franchisee must reimburse, indemnify, and hold Dog Haus harmless from any direct or indirect losses, costs, and expenses, including attorney's fees, that arise from the franchisee's failure to properly de-identify the former location.
If Dog Haus approves the relocation during the term of the franchise agreement, the franchisee has 12 months from the date of approval to secure the new location and open the Dog Haus restaurant. If the franchisee fails to secure the new location within this timeframe, Dog Haus has the right to estimate and bill the franchisee for Royalty Fees. These fees will be based on the Royalty Fees received for the restaurant during the same period of the previous calendar year, plus an additional 10%, or if the restaurant was not in operation during that period, based on the average Royalty Fees paid during the months it was in operation, plus 10%.
Prospective franchisees should inquire about the specific amount of the Relocation Fee, the requirements for de-identifying a former location, and all potential costs associated with relocating a Dog Haus restaurant.