What constitutes grounds for termination of the Hydrodog franchise agreement regarding payments?

According to Hydrodog's 2025 Franchise Disclosure Document, failure to pay all amounts when due constitutes grounds for termination of the franchise agreement. This means that if a franchisee does not pay royalties, marketing fund fees, amounts due for purchases from Hydrodog or its affiliates, or any other amounts owed, Hydrodog has the right to terminate the agreement.

Hydrodog does not agree to accept any payments after they are due nor commit to extend credit to, or otherwise finance your operation of, your HydroDog Business. Hydrodog also has sole discretion to apply any of your payments to any of your past due indebtedness to them, regardless of any designation you might make.

This policy highlights the importance of maintaining timely payments to Hydrodog. Franchisees should ensure they have sufficient financial resources and systems in place to meet all payment obligations outlined in the franchise agreement. Failure to do so could result in the loss of the franchise.