What does the term 'Affiliate' mean in the Dog Haus franchise agreement?
Dog_Haus Franchise · 2025 FDDAnswer from 2025 FDD Document
- "Affiliate" or "Affiliates" means any person or Entity that controls, is controlled by, or is under common control with, a Party to this Agreement. Control of a person or Entity means the power, direct or indirect, to direct or cause the direction of the management and policies of such person or Entity whether by contract or otherwise.
Source: Item 23 — RECEIPTS (FDD pages 87–328)
What This Means (2025 FDD)
According to Dog Haus's 2025 Franchise Disclosure Document, the term 'Affiliate' or 'Affiliates' refers to any person or entity that controls, is controlled by, or is under common control with a party to the franchise agreement. Control, in this context, means the power to direct the management and policies of a person or entity, whether directly or indirectly, through contractual agreements or other means.
For a prospective Dog Haus franchisee, this definition is important because it clarifies the scope of relationships that could impact the franchise agreement. It extends the obligations and rights outlined in the agreement to related parties, ensuring that control or influence from outside entities does not undermine the terms of the agreement. This definition helps to prevent franchisees or Dog Haus itself from circumventing the agreement through affiliated entities.
This definition is fairly standard in franchise agreements. It is important to understand who Dog Haus's affiliates are, as those entities could also have an impact on the franchise. For example, affiliates may provide services or products to franchisees, or they may have some control over Dog Haus's operations. Franchisees should carefully consider the implications of the affiliate definition and how it might affect their business before signing the franchise agreement.