Does the Dog Haus Franchisor have the right to disapprove modifications suggested by the franchisee?
Dog_Haus Franchise · 2025 FDDAnswer from 2025 FDD Document
Since every detail of the Dog Haus System is essential in order to develop and maintain quality operating standards, to increase the demand for the products and services sold by Dog Haus Restaurants under the Dog Haus System and to protect the Dog Haus Marks and reputation and goodwill, Franchisor shall have the right to disapprove, as it believes necessary, any modification of, or addition to, the Dog Haus System suggested by Franchisee that is reasonably likely to have an adverse material effect on the Dog Haus System, the Dog Haus Marks or Franchisor's reputation or goodwill.
Source: Item 22 — CONTRACTS (FDD page 87)
What This Means (2025 FDD)
According to Dog Haus's 2025 Franchise Disclosure Document, Dog Haus has the right to disapprove modifications suggested by a franchisee under certain conditions. To maintain quality operating standards, increase demand for products and services, and protect the Dog Haus Marks, reputation, and goodwill, Dog Haus can disapprove any modification or addition to the Dog Haus System suggested by a franchisee.
This disapproval is based on Dog Haus's assessment of whether the modification is reasonably likely to have an adverse material effect on the Dog Haus System, the Dog Haus Marks, or Dog Haus's reputation or goodwill. This provision ensures that franchisees adhere to the established standards and practices of the Dog Haus system, preventing deviations that could negatively impact the brand's overall image and customer experience.
For a prospective franchisee, this means that while they can suggest modifications to the Dog Haus System, Dog Haus has the final say in whether those changes are implemented. Franchisees must operate their Dog Haus Restaurant in compliance with the terms of the franchise agreement and the manuals provided by Dog Haus, and they must implement changes to the Dog Haus System within the time periods specified by Dog Haus after receiving notice. This is a fairly standard clause in franchise agreements, as franchisors need to maintain brand consistency across all locations.