Does Hydrodog have an obligation to establish a Marketing Fund Advisory Committee?
Hydrodog Franchise · 2025 FDDAnswer from 2025 FDD Document
We have the right, but not the obligation, to establish a Marketing Fund Advisory Committee ("Committee"), consisting of franchisees to advise and consult with us regarding the establishment, modification, continuance, or other decisions or considerations affecting marketing programs. The organizational structure and manner of operation of that Committee will be determined by us in our sole discretion, exercised in good faith. No Committee is presently in existence. We will consult with the Committee and consider the Committee's input and advice concerning the use of the Marketing Fund. However, we will retain sole discretion over all aspects, including administration and use, of the Marketing Fund.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 22–30)
What This Means (2025 FDD)
According to Hydrodog's 2025 Franchise Disclosure Document, Hydrodog has the right, but not the obligation, to establish a Marketing Fund Advisory Committee. This committee would consist of franchisees who would advise and consult with Hydrodog regarding decisions affecting marketing programs.
Currently, no such committee exists. If Hydrodog chooses to establish a committee, they will determine its organizational structure and manner of operation at their sole discretion, exercised in good faith. Hydrodog will consult with the committee and consider its input and advice concerning the use of the Marketing Fund.
However, Hydrodog retains sole discretion over all aspects of the Marketing Fund, including its administration and use. This means that while a committee could be formed to provide advice, Hydrodog is not bound to follow that advice and ultimately makes all decisions regarding the Marketing Fund.