What rights does a Dog Haus franchisee lose upon termination or expiration of the agreement?
Dog_Haus Franchise · 2025 FDDAnswer from 2025 FDD Document
d, Franchisor shall not be deemed in Default for so long as it commences to cure such Default within sixty (60) days and diligently continues to prosecute such cure to completion. If Franchisee terminates this Agreement pursuant to this Section 16.9, Franchisee shall comply with all of the terms and conditions of Article 17.
- 16.10 Options At Termination. Upon any Default under Sections 16.2 or 16.3, Franchisor may immediately take any one or more of the following actions, by written notice to Franchisee: (i) terminate this Agreement and all rights granted to Franchisee under this Agreement; (ii) eliminate or diminish Franchisee's rights with respect to the Protected Area or the size of the Protected Area; (iii) increase the fees to be paid by Franchisee to Franchisor; or (iv) increase Franchisee's Local Store Marketing Expenditures.
17. OBLIGATIONS FOLLOWING TERMINATION OR EXPIRATION.
- 17.1 General. To protect the Dog Haus System, the Dog Haus Marks, the Dog Haus Trade Secrets and the goodwill associated with the same, upon the expiration or termination of Franchisee's rights granted under this Agreement, Franchisee shall immediately cease to use all Dog Haus Trade Secrets, Dog Haus Confidential Information, the Dog Haus Marks, and any confusingly similar trademark, service mark, trade name, logotype, or other commercial symbol or insignia. Franchisee shall at its own cost immediately return the Manuals and all written materials incorporating Dog Haus Trade Secrets and all copies of any of the same to Franchisor. Franchisee shall at its own cost make cosmetic changes to the Franchised Restaurant and the Franchised Location so that they no longer contain or resemble Franchisor's proprietary designs and shall remove all Dog Haus identifying materials and distinctive Dog Haus cosmetic features and finishes, furniture, soffits, interior wall coverings and colors, exterior finishes and colors and signage from the Franchised Location that Franchisor may reasonably direct.
- 17.2 Prior Payments. Franchisor may retain all fees paid to Franchisor pursuant to this Agreement, and Franchisee shall immediately pay any and all amounts remaining due to Franchisor and its Affiliates.
Source: Item 22 — CONTRACTS (FDD page 87)
What This Means (2025 FDD)
According to Dog Haus's 2025 Franchise Disclosure Document, upon termination or expiration of the franchise agreement, a franchisee loses several key rights and must adhere to specific obligations to protect the Dog Haus system. The franchisee must immediately stop using all Dog Haus Trade Secrets, Dog Haus Confidential Information, and Dog Haus Marks, including any similar trademarks or commercial symbols. This prevents any potential confusion or misuse of the brand's identity after the agreement ends.
Furthermore, the franchisee is responsible for returning all manuals and written materials that contain Dog Haus Trade Secrets to the franchisor at their own cost. They must also make cosmetic changes to the franchised restaurant to ensure it no longer resembles Dog Haus's proprietary designs. This includes removing all Dog Haus identifying materials, distinctive cosmetic features, furniture, interior and exterior finishes, and signage as directed by Dog Haus. These steps are crucial to differentiate the former franchise location from the Dog Haus brand and prevent any ongoing association.
Additionally, all obligations of Dog Haus to the franchisee cease upon termination or expiration, and the franchisee must stop representing themselves as a current or former franchisee. The franchisee acknowledges that the rights to the Dog Haus Marks remain the property of Dog Haus, and any unauthorized use of these marks after termination constitutes trademark infringement, potentially leading to damages. If the franchisee has registered any names or marks including "Dog Haus", they must amend those registrations to remove the brand's identifying information. These measures collectively ensure the protection of Dog Haus's brand, trade secrets, and overall system after a franchise agreement concludes.