If a Hydrodog franchisee is a business organization, what must be included on certificates representing ownership interests?
Hydrodog Franchise · 2025 FDDAnswer from 2025 FDD Document
ermination of this Agreement; and
We have approved your request to purchase a HydroDog Business in reliance on all of your representations.
- 1.3 Business Organization. If you are at any time a business organization ("Business Entity") (like a corporation, limited liability company or partnership) you agree and represent that:
- (a) you have the authority to execute, deliver and perform your obligations under this Agreement and are duly organized or formed and validly existing in good standing under the laws of the state of your incorporation or formation, and you have provided us with sufficient evidence of the same;
Source: Item 23 — RECEIPTS (FDD pages 43–166)
What This Means (2025 FDD)
According to Hydrodog's 2025 Franchise Disclosure Document, if a franchisee is a business organization such as a corporation, limited liability company, or partnership, the organizational or governing documents must state that the issuance and transfer of any ownership interests are restricted by the terms of the Franchise Agreement.
Furthermore, all certificates and other documents that represent ownership interests in the Hydrodog franchise must include a legend that refers to these restrictions. The franchisee must also provide Hydrodog with copies of these documents for their review.
This requirement ensures that Hydrodog maintains control over who can become an owner in a franchise location and that all potential owners are aware of the restrictions placed on ownership by the Franchise Agreement. This protects Hydrodog's brand and standards by ensuring that all owners meet their criteria and are bound by the agreement's terms.