Can Dog Haus restrict the delivery and catering jurisdiction of any Dog Haus franchisee in the future?
Dog_Haus Franchise · 2025 FDDAnswer from 2025 FDD Document
We expressly reserve the exclusive, unrestricted right, in our sole and absolute discretion, directly and indirectly to: (i) develop, own and operate, and to grant franchises to third parties to develop, own and operate, Franchised Restaurants outside of your Protected Area, regardless of their proximity to the Franchised Restaurant; (ii) develop, own and operate, and to grant franchises to third parties to develop, own and operate any other business, other than a competitive business, under marks and systems different from the Dog Haus Marks and the Dog Haus System at any location regardless of their proximity to your Franchised Restaurant; (iii) sell or distribute, at retail or wholesale, directly or indirectly, or license others to sell or distribute, Dog Haus Branded Products at any location within or outside your Protected Area regardless of its proximity to the Franchised Restaurant, through the Internet, mail order catalogs, direct mail marketing, 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, marketing, co-branding and other arrangements, and in all other forms of electronic media; (v) deliver and cater and/or to license to other Franchised Restaurants or third parties to deliver and cater at any location within or outside of your Protected Area without compensation to you, and to establish a delivery and catering policy in the future which may restrict the delivery and catering jurisdiction of any Dog Haus franchisee; and (vi) own or operate and to franchise or license others to own or operate Franchised Restaurants at any Non-Traditional Venue within and outside your Protected Area regardless of their proximity to your Franchised Restaurant.
Source: Item 12 — TERRITORY (FDD pages 53–57)
What This Means (2025 FDD)
According to Dog Haus's 2025 Franchise Disclosure Document, Dog Haus retains the right to establish a delivery and catering policy in the future, which may include restricting the delivery and catering jurisdiction of any Dog Haus franchisee. This means that even if a franchisee is currently allowed to deliver and cater within a specific area, Dog Haus can change its policies and limit or alter that area in the future.
This reservation of rights also extends to Dog Haus's ability to deliver and cater themselves or license other franchisees or third parties to do so within or outside a franchisee's protected area, without providing any compensation to the franchisee. Furthermore, Dog Haus may impose restrictions in the future that prevent a franchisee from providing catering and delivery services outside of their Protected Area. These policies may also allow other franchised restaurants or third parties to provide catering and delivery services in a franchisee's protected area without compensation.
Dog Haus may also require franchisees to participate in a non-exclusive delivery system, such as call-ahead, internet-order, or mobile application programs, and to pay all associated fees and charges. Franchisees may also be required to use third-party delivery services with which Dog Haus has a national contract and may not contract with any other delivery platform without written approval. This gives Dog Haus significant control over the delivery and catering aspects of the franchise and allows them to adapt to changing market conditions and consumer preferences.
For a prospective franchisee, this means that the initial territory and rights granted for delivery and catering are not guaranteed and can be modified by Dog Haus. It is important to understand the potential impact of these changes on the franchisee's business and profitability. A prospective franchisee should inquire about Dog Haus's long-term vision for delivery and catering services and any potential restrictions that may be imposed in the future.