Does the Dog Haus Franchise Agreement include an Area Development Agreement as an exhibit?
Dog_Haus Franchise · 2025 FDDAnswer from 2025 FDD Document
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DOG HAUS WORLDWIDE, LLC
EXHIBIT B
AREA DEVELOPMENT AGREEMENT
TABLE OF CONTENTS
| | ARTICLE | | PAGE | |-----|-----------|---------------------------------------------------------|------| | 1. | | DEFINITIONS1 | | | 2. | | EXCLUSIVE LICENSE6 | | | 3. | | TERM9 | | | 4. | | PAYMENTS BY AREA DEVELOPER9 | | | 5. | | INITIAL SERVICES AND ONGOING OBLIGATIONS OF FRANCHISOR9 | | | 6. | | OBLIGATIONS OF AREA DEVELOPER 10 | | | 7. | | DOG HAUS MARKS 10 | | | 8. | | CONFIDENTIAL INFORMATION 12 | | | 9. | | TRANSFER OF INTEREST 14 | | | 10. | | TRANSFER BY AREA DEVELOPER IN BANKRUPTCY 18 | | | 11. | | DEFAULT AND TERMINATION 18 | | | 12. | | OBLIGATIONS UPON TERMINATION OR EXPIRATION 20 | | | 13. | | COVENANTS 20 | | | 14. | | INDEPENDENT CONTRACTOR AND INDEMNIFICATION 22 | | | 15. | | DISPUTE RESOLUTION 24 | | | 16. | | ANTI-TERRORISM LAWS 27 | | | 17. | | NOTICES 28 | | | 18. | EXHIBIT A EXHIBIT B EXHIBIT C | ACKNOWLEDGMENTS 28 EXHIBITS DEVELOPMENT INFORMATION ENTITY INFORMATION DISCLOSURE GUARANTEE OF AREA DEVELOPMENT AGREEMENT | |
THIS AREA DEVELOPMENT AGREEMENT (the "Agreement") is made and entered into as of the "Effective Date" set forth on Exhibit A, by and between DOG HAUS WORLDWIDE, LLC, a California limited liability company ("Franchisor"), on the one hand, and the individuals or Entity identified as "Area Developer" on Exhibit A, on the other hand, who are individually referred to in this Agreement as a "Party", and collectively referred to in this Agreement as "Parties", with reference to the following facts:
- Α. Franchisor and its predecessor and Affiliate have developed the "Dog Haus System" for the establishment and operation of fast casual restaurants that offer freshly prepared, cooked to order, high quality proprietary gourmet hot dogs, sausages, hamburgers, chicken and plant-based food products accompanied by Franchisor's proprietary sauces and a variety of other related food products, side dishes and alcoholic and non-alcoholic beverages for both on-premises and off-premises consumption under the trade name and service mark "Dog Haus" and other related trademarks, service marks, logos and commercial symbols, and the trade dress used to identify Dog Haus Restaurants, including the unique and distinctive interior and exterior building designs, color schemes, furniture, fixtures and accessories present in Dog Haus Restaurants (collectively, the "Dog Haus Marks").
- Franchisor desires to expand and develop "Dog Haus Biergarten", "Dog Haus Fast Casual", and/or "Dog Haus Remote Kitchen" ("Dog Haus Restaurants") in the Development Area and Area Developer desires to develop, open and operate Dog Haus Restaurants in the Development Area in accordance with the terms of this Agreement.
NOW, THEREFORE, IT IS AGREED:
1. DEFINITIONS
The capitalized terms in this Agreement that are not defined elsewhere in the text of this Agreement are assigned these definitions:
- "Affiliate" or "Affiliates" means any person or Entity that controls, is controlled by, or is under common control with, a Party to this Agreement. Control of a person or Entity means the power, direct or indirect, to direct or cause the direction of the management and policies of such person or Entity whether by contract or otherwise.
- "Applicable Law" means and includes applicable common law and all statutes, laws, rules, regulations, ordinances, policies and procedures established by any Governmental Authority with jurisdiction over the operation of Dog Haus Restaurants that are in effect on or after the Effective Date, as they may be amended from time to time.
- "Business Judgment" means that Franchisor is allowed to exercise its judgment however Franchisor believes is appropriate in a given circumstance without limitation, subject to the use of that discretion in any reasonable way as more fully described in Section 18.16.
- "Competitive Business" means any restaurant business that prepares, offers and sells gourmet hot dogs, sausages, hamburgers, chicken, plant-based food products or any combination of these products as primary menu items and any business that looks like, copies, imitates, or operates with similar trade dress or décor to the Dog Haus Restaurant.
- "Constituents" means past, present and future Affiliates, parents, subsidiaries, divisions, partners, members, trustees, receivers, executors, representatives, administrators, owners, shareholders, distributors, parents,
predecessors, officers, directors, agents, managers, principals, employees, insurers, successors, assigns, representatives and attorneys and the past, present and future officers, directors, agents, managers, principals, members, employees, insurers, successors, assigns, representatives and attorneys of each of the foregoing.
- "Default" means any breach of, or failure to comply with, any of the terms or conditions of an agreement.
- "Development Area" means the geographic area designated on Exhibit A.
- "Development Fee" means the development fee payable to Franchisor by Area Developer on the Effective Date in the amount set forth on Exhibit A.
- "Development Period" means each of the time periods indicated on Exhibit A during which Area Developer shall have the right and obligation to construct, equip, Open and thereafter continue to operate Dog Haus Restaurants in accordance with the Minimum Development Obligation.
- "Dog Haus Approved Suppliers" means suppliers of Dog Haus Branded Products, Dog Haus Proprietary Products and Non-Proprietary Products, and ancillary services, food products, beverages, supplies, furniture, fixtures and equipment for Dog Haus Restaurants that have been accepted and approved by Franchisor because they have demonstrated to Franchisor their ability to supply products and services for Dog Haus Restaurants meeting Franchisor's specifications as to brand names, models, contents, manner of preparation, ingredients, quality, freshness, compliance with governmental standards and regulations, reliability with respect to delivery and consistency in the quality of their products or services. Franchisor and its Affiliates may be Dog Haus Approved Suppliers.
- "Dog Haus Authorized Products" means all Dog Haus Branded Products, Dog Haus Proprietary Products and Non-Proprietary Products offered for sale or used at Dog Haus Restaurants, as specified by Franchisor from time to time.
Source: Item 23 — RECEIPTS (FDD pages 87–328)
What This Means (2025 FDD)
According to the 2025 Dog Haus Franchise Disclosure Document, the Area Development Agreement includes Exhibit A, which defines the effective date and the specifics of the development schedule. The Dog Haus Area Development Agreement outlines the understanding between Dog Haus Worldwide, LLC, and the area developer regarding the development of Dog Haus restaurants within a specific territory.
The agreement grants the area developer the right to develop Dog Haus Biergarten, Dog Haus Fast Casual, and/or Dog Haus Remote Kitchen locations within a defined Development Area. The area developer is obligated to meet a Minimum Development Obligation, which involves opening a specific number of Dog Haus restaurants within each Development Period, as detailed in Exhibit A. Failure to adhere to the Development Schedule can result in termination of the agreement, unless due to events of Force Majeure.
Dog Haus's obligations under the Area Development Agreement are limited to identifying the Development Area. The area developer is responsible for identifying and securing suitable sites for Dog Haus Restaurants, submitting site information for approval, and ensuring that all leases comply with the requirements outlined in Dog Haus's current Franchise Agreement. The area developer must also meet certain conditions before Dog Haus will execute a Franchise Agreement for each restaurant, including fulfilling all obligations, demonstrating financial ability, and adhering to the Development Schedule.