What two conditions must be met to determine the 'Opening Date' of a Dog Haus restaurant?
Dog_Haus Franchise · 2025 FDDAnswer from 2025 FDD Document
"Open" and "Opened" means that Area Developer has actually begun to sell food products to the public from a Dog Haus Restaurant.
"Opening Date" means the day that (i) Area Developer receives written authorization from Franchisor and all applicable Governmental Authorities to commence business operations at a Dog Haus Restaurant; and (ii) Area Developer actually begins to offer Dog Haus Authorized Products for sale to the public from the Dog Haus Restaurant, whichever occurs last.
Source: Item 23 — RECEIPTS (FDD pages 87–328)
What This Means (2025 FDD)
According to Dog Haus's 2025 Franchise Disclosure Document, the 'Opening Date' of a Dog Haus restaurant is determined by two conditions. First, the Area Developer must receive written authorization from Dog Haus and all applicable Governmental Authorities to commence business operations at the restaurant. Second, the Area Developer must actually begin to offer Dog Haus Authorized Products for sale to the public from the Dog Haus Restaurant. The 'Opening Date' is defined as whichever of these two events occurs last.
For a prospective Dog Haus franchisee, this definition is important because it clarifies exactly when the restaurant is considered officially open. This has implications for various aspects of the franchise agreement, such as royalty payments, compliance with operational standards, and adherence to the development schedule. The franchisee cannot simply open the doors; they must have all required authorizations and actually be selling approved products to be considered 'Open'.
The stipulation that the later of the two events determines the opening date protects both Dog Haus and the franchisee. Dog Haus ensures that the franchisee has met all legal and operational requirements before commencing business. The franchisee is protected from being penalized for delays outside of their control, such as delays in obtaining permits or licenses from governmental authorities. This definition provides a clear and objective standard for determining when the franchise is officially open and operating.
It is common in the franchise industry to have a clear definition of the 'Opening Date' as it triggers various obligations and rights for both the franchisor and the franchisee. Franchise agreements often tie key milestones and deadlines to this date, making it a critical point of reference throughout the franchise relationship. Prospective franchisees should carefully review the definition of 'Opening Date' in any franchise agreement to fully understand their obligations and rights.