factual

What two things must a Dog Haus franchisee ensure are included in the proposed lease?

Dog_Haus Franchise · 2025 FDD

Answer from 2025 FDD Document

Once Franchisee has identified the new Franchised Location, Franchisor has approved it, and the Lease has been submitted to Franchisor to allow Franchisor at least fifteen (15) days to confirm that the provisions set forth in Section 5.2 have been included in the proposed Lease and that the Landlord and Franchisee have executed an Option to Obtain Lease Assignment in the form specified by Franchisor, Franchisor will prepare an addendum to Exhibit A and provide it to Franchisee.

Source: Item 22 — CONTRACTS (FDD page 87)

What This Means (2025 FDD)

According to Dog Haus's 2025 Franchise Disclosure Document, before a franchisee can move forward with a new franchised location, they must ensure two critical provisions are included in the proposed lease. First, the lease must include the provisions set forth in Section 5.2 of the franchise agreement. Second, the franchisee must ensure that the landlord and the franchisee have executed an Option to Obtain Lease Assignment in the form specified by Dog Haus.

These requirements are in place to protect Dog Haus's interests and ensure consistency across all franchise locations. Section 5.2 likely contains specific terms and conditions that Dog Haus deems essential for the operation and branding of its franchises. The Option to Obtain Lease Assignment provides Dog Haus with the ability to take over the lease if the franchisee defaults or decides to sell the business, safeguarding the location for continued operation as a Dog Haus restaurant.

For a prospective Dog Haus franchisee, this means carefully reviewing the franchise agreement and understanding the requirements of Section 5.2. It also means working closely with the landlord to ensure that the Option to Obtain Lease Assignment is properly executed. Failure to include these provisions in the lease could delay or even prevent the opening of the franchise, as Dog Haus must confirm these provisions are in place before preparing the addendum to Exhibit A.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.