Under what conditions can the Program Fees for a Dq Treat franchise be adjusted?
Dq_Treat Franchise · 2025 FDDAnswer from 2025 FDD Document
- 3.2 Fee Adjustments. Program Fees are subject to adjustment if necessary to pass through any increases or decreases in costs associated with the Program. Any such adjustment resulting in an increase in cost associated with Program Fees shall become effective upon thirty (30) days notice to Participating Franchisee or Sub-Franchisee.
Source: Item 17 — The following paragraph is added to the end of Item 17 of the Disclosure Document: (FDD pages 70–378)
What This Means (2025 FDD)
According to the 2025 Dq Treat FDD, the Program Fees that a Participating Franchisee or Sub-Franchisee pays, as outlined in Exhibit C of the Participation Agreement, are subject to change. These fees can be adjusted if there are increases or decreases in costs associated with the Program.
Specifically, if an adjustment results in an increase in the cost associated with Program Fees, Dq Treat will provide the Participating Franchisee or Sub-Franchisee with thirty (30) days' notice before the adjustment takes effect. This allows the franchisee time to prepare for the change in fees.
This adjustment clause ensures that Dq Treat can adapt the fees to reflect the actual costs of running the program, while also providing franchisees with advance notice of any increases. Franchisees should pay close attention to any notices regarding fee adjustments to understand how their costs may change.