Under what circumstances would Dog Haus's acceptance of performance from a franchisee NOT be considered a waiver of a preceding breach or default?

According to the 2025 Dog Haus Franchise Disclosure Document, the franchisor's failure to enforce its rights under the agreement does not automatically constitute a waiver of those rights. This means that even if Dog Haus overlooks a franchisee's breach of contract in one instance, it does not forfeit its right to enforce the same or other provisions in the future. This protects Dog Haus from inadvertently losing its ability to enforce the franchise agreement due to leniency or oversight.

Furthermore, any waiver granted by Dog Haus, including a waiver of default, is specific to that particular instance and does not extend to other situations. This ensures that Dog Haus can address each breach or default on a case-by-case basis without setting a precedent that weakens its contractual rights. For a franchisee, this means they cannot assume that a past instance of leniency will apply to future breaches.

This clause is typical in franchise agreements, as it allows the franchisor flexibility in managing its network while preserving its ability to enforce brand standards and protect the system. However, prospective Dog Haus franchisees should be aware that Dog Haus retains the right to enforce all terms of the agreement, even if it has not done so consistently in the past.