Does the Hydrodog Assignment agreement specify any deadlines for fulfilling obligations?
Hydrodog Franchise · 2025 FDDAnswer from 2025 FDD Document
r of any claims we may have against you (or your owners), or a waiver of our right to demand the transferee's exact compliance with any of the terms or conditions of this Agreement. Furthermore, our consent to a transfer does not release you from your obligations under this Agreement unless expressly stated in writing by us.
- 15.8 Our Right of First Refusal. If you (or any of your owners) at any time determine to sell, assign or transfer for consideration an interest in this Agreement and your HydroDog Business or an ownership interest in you, you (or such owner) agree to obtain a bona fide, executed written offer and earnest money deposit (in the amount of five percent (5%) or more of the offering price) from a responsible and fully disclosed offeror (including lists of the owners of record and all beneficial owners of any corporate or limited liability company offeror and all general and limited partners of any partnership offeror) and immediately submit to us a true and complete copy of such offer, which includes details of the payment terms of the proposed sale and the sources and terms of any financing for the proposed purchase price. To be a valid, bona fide offer, the proposed purchase price must be denominated in a dollar amount and must represent the actual consideration being paid for the interest being transferred, without any allocation of value to other assets or rights not covered by this right of first refusal. The offer must apply only to an interest in you or in this Agreement and your HydroDog Business and may not include an offer to purchase any of your (or your owners') other property or rights. However, if the offeror proposes to buy any other property or rights from you (or your owners) under a separate, contemporaneous offer, such separate, contemporaneous offer must be disclosed to us, and the price and terms of purchase offered to you (or your owners) for the interest in you or in this Agreement and your HydroDog Business must reflect the bona fide price offered and not reflect any value for any other property or rights.
Source: Item 23 — RECEIPTS (FDD pages 43–166)
What This Means (2025 FDD)
According to Hydrodog's 2025 Franchise Disclosure Document, if a franchisee (or any of their owners) decides to sell, assign, or transfer their interest in the Franchise Agreement and Hydrodog business for consideration, they must first obtain a bona fide, executed written offer with an earnest money deposit of at least five percent (5%) of the offering price from a responsible and fully disclosed offeror. The franchisee must then immediately submit a true and complete copy of this offer to Hydrodog, including details of payment terms and financing.
The offer must be for a dollar amount representing the actual consideration for the interest being transferred, without allocating value to other assets or rights not covered by Hydrodog's right of first refusal. The offer can only apply to the interest in the franchisee or the Franchise Agreement and Hydrodog business, and cannot include an offer to purchase any other property or rights of the franchisee (or their owners).
Furthermore, the purchase price will be paid at the closing of the purchase, which must occur no later than 90 days after the determination of the purchase price. Hydrodog has the right to offset any amounts the franchisee or their owners owe to Hydrodog against the purchase price. At closing, the franchisee must deliver instruments transferring good and merchantable title to the purchased assets, free of liens and encumbrances (unless acceptable to Hydrodog), and pay all sales and transfer taxes. The franchisee must also transfer all assignable or transferable licenses and permits of the Hydrodog business, as well as the leasehold interest and improvements in the Hydrodog Vehicle.