If Hydrodog is legally obligated to renew, what franchise agreement conditions apply?
Hydrodog Franchise · 2025 FDDAnswer from 2025 FDD Document
- 3.3 Renewal Under Law.
Even though we may choose not to renew your franchise, certain laws, rules, regulations, statutes, ordinances, or legal orders that are applicable in your jurisdiction at the time may legally obligate us to do so.
If that happens, to the extent it is allowed by the concerned law, rule, regulation, statute, ordinance or order, your renewal term will be subject to the conditions of the franchise agreement we are using for new franchisees at the time the renewal period begins.
If we are not then offering new franchises, your renewal period will be subject to the terms in the franchise agreement that we indicate.
If for any reason that is not allowed, the renewal term will be governed by the terms of this Agreement.
Source: Item 23 — RECEIPTS (FDD pages 43–166)
What This Means (2025 FDD)
According to Hydrodog's 2025 Franchise Disclosure Document, even if Hydrodog chooses not to renew a franchise agreement, certain laws may legally obligate them to do so. In such cases, the renewal terms are subject to conditions. To the extent allowed by the applicable law, rule, regulation, statute, ordinance or order, the renewal term will be subject to the conditions of the franchise agreement Hydrodog is using for new franchisees at the time the renewal period begins.
If Hydrodog is not offering new franchises at that time, the renewal period will be subject to the terms in the franchise agreement that Hydrodog indicates. However, if that is not allowed for any reason, the renewal term will be governed by the terms of the existing franchise agreement.
This means that a franchisee might be held to the terms of a new franchise agreement, which could include higher fees or different operational requirements, if Hydrodog is legally obligated to renew the franchise. If a new agreement isn't available, Hydrodog will designate which agreement applies. Only if neither of those options is legally permissible will the original agreement remain in effect.