If a Dog Haus Area Developer fails to comply with the Development Schedule, what are the consequences?
Dog_Haus Franchise · 2025 FDDAnswer from 2025 FDD Document
Failure to comply with the Development Schedule shall constitute a Default under this Agreement and shall entitle Franchisor to terminate this Agreement, unless the Default results from an event of Force Majeure, in which case, the deadline to Opening a Dog Haus Restaurant may be extended by Franchisor as provided in Section 2.7.
Source: Item 23 — RECEIPTS (FDD pages 87–328)
What This Means (2025 FDD)
According to Dog Haus's 2025 Franchise Disclosure Document, if an Area Developer fails to comply with the Development Schedule, it constitutes a default under the Area Development Agreement. This failure entitles Dog Haus to terminate the agreement.
However, there is an exception: if the failure to comply with the Development Schedule results from an event of Force Majeure, Dog Haus may extend the deadline for opening a Dog Haus Restaurant. The term Force Majeure typically refers to unforeseeable circumstances that prevent someone from fulfilling a contract, such as natural disasters or acts of war.
This means that as an Area Developer, it is critical to adhere to the Development Schedule outlined in Exhibit A of the Area Development Agreement. Failure to do so can result in the termination of the agreement and the loss of rights to develop Dog Haus restaurants in the designated area, unless the failure is due to unforeseeable circumstances beyond the Area Developer's control.