What is the cure period for failing to make payments to Hydrodog or its affiliates?
Hydrodog Franchise · 2025 FDDAnswer from 2025 FDD Document
- (r) you fail to make payments of any amounts due to us or our affiliates and do not correct such failure within ten (10) days after written notice of such failure is delivered to you, regardless of whether such notice is received;
Source: Item 23 — RECEIPTS (FDD pages 43–166)
What This Means (2025 FDD)
According to Hydrodog's 2025 Franchise Disclosure Document, if a franchisee fails to make payments to Hydrodog or its affiliates, they have ten (10) days to correct the failure after receiving written notice. It is important to note that the cure period begins from the date the notice is delivered, regardless of whether the franchisee actually receives the notice. This means a Hydrodog franchisee needs to act quickly once a notice is sent to avoid termination of the franchise agreement.
Hydrodog emphasizes that they do not agree to accept late payments or extend credit to franchisees. Failure to pay amounts when due is grounds for termination of the agreement. This highlights the importance of maintaining timely payments to Hydrodog and its affiliates to remain in good standing and avoid potential penalties or termination.
In addition to the risk of termination, Hydrodog also imposes a late payment fee of ten percent (10%) of the amount due, or the highest rate permitted by law. This fee applies to all royalties, marketing fund fees, amounts due for purchases from Hydrodog or its affiliates, and any interest accrued. Furthermore, if a payment is unsuccessful due to insufficient funds, a $50.00 fee will be charged. These financial penalties, combined with the short cure period, underscore the need for franchisees to manage their finances carefully and ensure timely payments to Hydrodog.