factual

Is a Dog Haus franchisee granted an exclusive territory?

Dog_Haus Franchise · 2025 FDD

Answer from 2025 FDD Document

The license granted under this Agreement is nonexclusive and Franchisee shall have no territorial or protective rights.

Franchisor and its Affiliates expressly reserve all other rights with respect to the Dog Haus System, the Dog Haus Marks and Dog Haus Restaurants, including the exclusive right, in their discretion, directly or indirectly, without paying Franchisee any compensation or granting Franchisee any rights in the same to: (i) develop, own and operate, and to grant licenses and franchises to third parties to develop, own and operate, Dog Haus Restaurants at any location outside Franchisee's Protected Area regardless of its proximity to the Franchised Restaurant; (ii) develop, own and operate, and to grant licenses and franchises to third parties to develop, own 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 at any location within or outside Franchisee's Protected Area regardless of its proximity to the Franchised Restaurant; (iii) sell or distribute, at retail or wholesale, directly or indirectly, and license others to sell or distribute, Dog Haus Branded Products, Dog Haus Proprietary Products and Sub-Branded Products from any location within or outside Franchisee's Protected Area regardless of proximity to the Franchised Restaurant, through the Internet, mail order catalogs, direct mail advertising, catering and through other distribution methods; (iv) market on the Internet and use the Dog Haus Marks on the Internet, including all use of websites, domain names, URLs, directory addresses, email addresses, metatags, linking, advertising, cobranding and other arrangements, and in all other forms of electronic media; (v) deliver and cater and/or license other Dog Haus Restaurants or third parties to deliver and cater at any location within or outside of the Protected Area without compensation to Franchisee, and to establish a delivery and Catering Services policies in the future which may restrict the delivery and Catering Services jurisdiction of Franchisor or of other Dog Haus Franchisees; (vi) develop, own or operate and to grant licenses or franchises to third parties to develop, own or operate Dog Haus Restaurants at Non-Traditional Venues within or outside Franchisee's Protected Area regardless of their proximity to the Franchised Restaurant; (vii) acquire the assets or ownership interests of one or more businesses

Source: Item 22 — CONTRACTS (FDD page 87)

What This Means (2025 FDD)

According to Dog Haus's 2025 Franchise Disclosure Document, the franchise agreement does not grant franchisees an exclusive territory. The agreement specifies that the license granted is nonexclusive, meaning the franchisee will not have territorial or protective rights.

Dog Haus explicitly reserves the right to operate or franchise others to operate Dog Haus restaurants at any location outside the franchisee's Protected Area, regardless of proximity. They can also operate other businesses (excluding Competitive Businesses) under different marks and systems within or outside the Protected Area. Furthermore, Dog Haus retains the right to sell and distribute branded products through various channels, including the internet, mail order, and catering, without compensating the franchisee, irrespective of location.

This lack of territorial exclusivity means a Dog Haus franchisee could face competition from other Dog Haus outlets or related businesses owned or franchised by Dog Haus, even in close proximity to their location. This could impact the franchisee's potential customer base and revenue. Prospective franchisees should carefully consider this non-exclusive arrangement and its potential effects on their business before investing in a Dog Haus franchise.

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.