If HydroDog modifies or discontinues a mark, will HydroDog reimburse me for loss of revenue?
Hydrodog Franchise · 2025 FDDAnswer from 2025 FDD Document
- 8.4 Discontinuance of Use of Marks. If it becomes advisable at any time in our Business Judgment for us and/or you to modify or discontinue the use of any Mark and/or use one or more additional or substitute trade or service marks, you agree to comply with our directions within a reasonable time after receiving notice.
We will reimburse you for your reasonable direct expenses of changing your HydroDog Business's signs.
However, we will not be obligated to reimburse you for any loss of revenue attributable to any modified or discontinued Mark or for any expenditures you make to promote a modified or substitute trademark or service mark.
Source: Item 23 — RECEIPTS (FDD pages 43–166)
What This Means (2025 FDD)
According to Hydrodog's 2025 Franchise Disclosure Document, Hydrodog has the right to modify or discontinue the use of any mark. If Hydrodog makes such changes, franchisees must comply with Hydrodog's directions within a reasonable time after receiving notice.
Hydrodog will reimburse franchisees for the reasonable direct expenses of changing their HydroDog Business's signs. This suggests that franchisees will be responsible for covering these expenses initially, and then seeking reimbursement from Hydrodog.
However, Hydrodog will not be obligated to reimburse franchisees for any loss of revenue attributable to any modified or discontinued mark. Additionally, Hydrodog will not cover any expenditures franchisees make to promote a modified or substitute trademark or service mark. This means that franchisees must bear the financial risk of lost revenue and promotional costs associated with the brand changes.