Does Hydrodog reserve the right to own and operate HydroDog Businesses outside of my territory?
Hydrodog Franchise · 2025 FDDAnswer from 2025 FDD Document
and not engage in any other business or activity that conflicts with your obligations to operate the HydroDog Business in compliance with this Agreement.
- 2.5 Rights We Reserve. We (and our affiliates) retain the right, in our Business Judgment, to:
- (a) sell or otherwise distribute any products or services anywhere, whether at wholesale, retail or otherwise and whether or not using the Marks or System, without restriction of any kind and in any channel of distribution, other than mobile facilities providing pet grooming services under the Marks and System, whether or not located in your Territory and to customers located anywhere;
- (b) Distribute branded products through any outlet (including sales through general retail stores, pet stores or otherwise and/or by electronic means) located anywhere;
Source: Item 23 — RECEIPTS (FDD pages 43–166)
What This Means (2025 FDD)
According to Hydrodog's 2025 Franchise Disclosure Document, Hydrodog retains specific rights regarding the operation of Hydrodog businesses. Hydrodog has the right to own and operate HydroDog Businesses themselves or authorize others to own and/or operate businesses located outside of a franchisee's territory. This includes businesses that may or may not use Hydrodog's marks and system.
This means that while a franchisee is granted a territory, Hydrodog can still operate or franchise other businesses outside of that territory. This could potentially lead to increased competition in adjacent markets or impact brand consistency depending on how these other businesses are managed.
Furthermore, Hydrodog also reserves the right to sell or distribute products or services anywhere, without restrictions, and through any channel of distribution. They can also distribute branded products through any outlet, including retail stores or electronic means, regardless of location. These rights provide Hydrodog with considerable flexibility in how they expand and manage the brand, but franchisees should be aware of the potential for Hydrodog to operate or authorize businesses that could indirectly compete with their own.