What happens if a Hydrodog franchisee is convicted of a felony?
Hydrodog Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provisions | Other Agreement | Summary |
|---|---|---|
| of the Agreement Date; abandonment; unapproved transfers; conviction of or a plea of no contest to, a felony or other serious crime; dishonest or unethical conduct; unauthorized assignment of the Franchise Agreement or of an ownership interest in you or the HydroDog Business; loss of the HydroDog Vehicle; unauthorized use or disclosure of the Manuals or confidential information; failure to pay taxes, repeated defaults (even if cured); and bankruptcy. All non-curable defaults are subject to applicable state law. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 36–38)
What This Means (2025 FDD)
According to Hydrodog's 2025 Franchise Disclosure Document, conviction of a felony is grounds for termination of the franchise agreement. Specifically, if a Hydrodog franchisee is convicted of, or pleads no contest to, a felony or other serious crime, this constitutes a non-curable default under the agreement. This means Hydrodog has grounds to terminate the franchise agreement.
This provision is fairly standard in franchise agreements, as franchisors need to protect their brand's reputation and ensure that franchisees are of sound moral character. A felony conviction can indicate a risk to the brand and the business.
It is important for prospective Hydrodog franchisees to understand that any criminal activity resulting in a felony conviction could jeopardize their franchise ownership. Franchisees should review the full franchise agreement to understand all potential causes for termination and their rights in such situations.