What liability does Hydrodog have for debts, losses, or obligations incurred by the Hydrodog business when managed by a Hydrodog-appointed manager after death or disability?
Hydrodog Franchise · 2025 FDDAnswer from 2025 FDD Document
Operation of your HydroDog Business during any such period will be on your behalf, provided that we shall use commercially reasonable efforts in operating the business but shall have no liability to you, your owners, or any third party for any debts, losses, or obligations incurred by your HydroDog Business or to any of your creditors for any products, materials, supplies or services your HydroDog Business purchases during any period it is managed by our appointed Manager.
Source: Item 23 — RECEIPTS (FDD pages 43–166)
What This Means (2025 FDD)
According to Hydrodog's 2025 Franchise Disclosure Document, Hydrodog bears no liability for any debts, losses, or obligations incurred by the Hydrodog business when it is being managed by a Hydrodog-appointed manager following the death or disability of the franchisee. This protection extends to any debts, losses, or obligations incurred by the Hydrodog business, as well as to any creditors for products, materials, supplies, or services purchased during the period it is managed by Hydrodog's appointed manager.
If the franchisee or the owner of a controlling interest in the franchisee business dies or becomes disabled, and the Hydrodog business is not being managed by a trained manager, the executor or personal representative has three months to appoint a manager. If they fail to do so, or if Hydrodog believes the business is not being managed properly, Hydrodog has the right, but not the obligation, to appoint a manager.
During the period that Hydrodog's appointed manager operates the Hydrodog business, all funds generated are kept in a separate account. All expenses related to the business, including the manager's compensation, costs, and travel expenses, are charged to this account. Hydrodog also has the right to charge a reasonable management fee, which will not exceed $400 per day, in addition to the ongoing royalty and marketing fund fees. The Hydrodog business continues to operate on behalf of the franchisee during this period.