When is the Hydrodog Non-Compliance Fee due?
Hydrodog Franchise · 2025 FDDAnswer from 2025 FDD Document
page_14_Picture_0.jpeg)
| Name of Fee(1) | Amount(4) | Due Date | Remarks |
|---|---|---|---|
| Temporary | $0-$400 per day, | If incurred | We are permitted to step in and operate |
| Management Fee | plus expenses | your HydroDog Business in certain | |
| circumstances, such as default, death, | |||
| disability or prolonged absence. | |||
| Non-Compliance Fee | $250 | If incurred | Payable upon your failure to comply |
| for the first | |||
| non-compliance for | with our System standards and | ||
| which we give you | requirements. This fee is in addition to, | ||
| written notice; $500 | and not in lieu of, | ||
| all other rights and | |||
| for the second; $750 | remedies we have under the Franchise | ||
| for the third and | Agreement, including our right to | ||
| subsequent. | terminate the franchise for repeated or | ||
| uncured violations. | |||
| This fee will only be | |||
| charged if you fail to comply with our | |||
| System standards and requirements and | |||
| fail to cure such failure within the stated |
Source: Item 6 — OTHER FEES (FDD pages 12–16)
What This Means (2025 FDD)
According to Hydrodog's 2025 Franchise Disclosure Document, the Non-Compliance Fee is due 'If incurred'. Specifically, it is payable upon your failure to comply with Hydrodog's System standards and requirements. This fee is charged if you fail to correct the non-compliance within the stated cure period. The amount of the fee varies depending on the number of non-compliance instances. The first non-compliance instance after written notice is $250, the second is $500, and the third and subsequent instances are $750.
This fee is in addition to, and not in lieu of, all other rights and remedies Hydrodog has under the Franchise Agreement, including the right to terminate the franchise for repeated or uncured violations. This means that in addition to paying the fee, a franchisee could still face further penalties or even termination of their franchise agreement for repeated or uncorrected violations.
Prospective franchisees should understand that maintaining compliance with Hydrodog's system standards is crucial to avoid these fees and potential further disciplinary actions. It is important to carefully review the Franchise Agreement and operations manual to fully understand what constitutes non-compliance and what the cure periods are for different types of violations. Paying attention to these details can help a franchisee avoid these fees and maintain a good standing with Hydrodog.