factual

Is a Dog Haus franchisee allowed to sublicense or sublease the right to operate the Remote Kitchen?

Dog_Haus Franchise · 2025 FDD

Answer from 2025 FDD Document

Franchisor hereby awards Franchisee, and Franchisee hereby accepts, the nonexclusive right, license and obligation to use and display the Dog Haus Marks and use the Dog Haus System to continually operate one (1) Remote Kitchen at, and only at, the Remote Kitchen Premises during the term of the Franchise Agreement and this Addendum, upon the terms and subject to the provisions of the Franchise Agreement, this Addendum, the Remote Kitchen Agreement, and all ancillary documents related to the use of the Remote Kitchen. Franchisee shall utilize the Remote Kitchen Premises only for the operation of the Remote Kitchen. Franchisee shall not sublicense, sublease or subcontract providing for the right to operate the Remote Kitchen or to use the Dog Haus System granted pursuant to the Franchise Agreement and this Addendum. Franchisee may enter into a management agreement for right to operate the Remote Kitchen granted pursuant to the Franchise Agreement and this Addendum only with Franchisor's prior written consent.

Source: Item 23 — RECEIPTS (FDD pages 87–328)

What This Means (2025 FDD)

According to Dog Haus's 2025 Franchise Disclosure Document, a franchisee is explicitly prohibited from sublicensing or subleasing the right to operate a Remote Kitchen. The franchise agreement states that the franchisee accepts the nonexclusive right and license to operate one Remote Kitchen at a specific location.

This restriction means that the franchisee must directly manage and control the Remote Kitchen operation. They cannot transfer the operational rights to another party through a sublicense or sublease. However, a franchisee may enter into a management agreement to operate the Remote Kitchen, but only with Dog Haus's prior written consent.

This policy ensures that Dog Haus maintains control over the quality and consistency of its brand. By preventing unauthorized third parties from operating the Remote Kitchen, Dog Haus can enforce its standards and protect its brand reputation. Prospective franchisees should be aware that they must be prepared to directly oversee the Remote Kitchen's operations unless they obtain specific approval from Dog Haus for a management agreement.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.