What late charge will Dog Haus impose for each late payment transaction?
Dog_Haus Franchise · 2025 FDDAnswer from 2025 FDD Document
oduct displays, templates and other promotional materials for the Franchised Restaurant at Franchisor's direct costs for the same.
- 4.4 Other Payments. Franchisee shall promptly pay Franchisor and its Affiliates, as applicable, when due without deduction, abatement or offset (i) all amounts advanced by Franchisor or which Franchisor has paid, or for which Franchisor has become obligated to pay on behalf of Franchisee for any reason whatsoever; and (ii) all amounts due to Franchisor or its Affiliates for Dog Haus Branded Products and Dog Haus Proprietary Products sold to Franchisee.
- 4.5 Interest and Charges for Late Payments. If Franchisee fails to pay any amount due to Franchisor under this Agreement by the date payment is due, or if any electronic payment is unpaid because of insufficient funds or otherwise, Franchisee shall additionally be obligated to pay, as a late charge, the sum of $200 for each late payment transaction. Additionally, Franchisee shall
Source: Item 22 — CONTRACTS (FDD page 87)
What This Means (2025 FDD)
According to Dog Haus's 2025 Franchise Disclosure Document, if a franchisee fails to make payments by the due date, or if an electronic payment is rejected due to insufficient funds, Dog Haus will impose a late charge. This late charge is $200 for each late payment transaction.
In addition to the late charge, Dog Haus will also charge interest on the outstanding amount. This interest accrues at a rate of 1.5% per month, but it will not exceed the maximum legal interest rate. The interest is calculated from the original due date until the full amount, including the late charge, is paid.
It is important to note that Dog Haus's acceptance of late payments or imposition of late fees does not constitute an agreement to extend credit or delay payment deadlines. Franchisees are still responsible for making all payments on time, and failure to do so can be grounds for termination of the franchise agreement, regardless of these late payment provisions.