factual

How soon must a Hydrodog franchisee repay Hydrodog for amounts paid on their behalf?

Hydrodog Franchise · 2025 FDD

Answer from 2025 FDD Document

17. RIGHTS AND OBLIGATIONS UPON TERMINATION

17.1 Payment of Amounts Owed To Us. You agree to pay us within fifteen (15) days after the effective date of termination or expiration of this Agreement, or on such later date that we determine amounts are due to us, all amounts due for Royalties, Marketing Fund Fees, contributions, amounts owed for purchases from us, interest due on any of the foregoing, and any and all other amounts owed to us which are then unpaid.

Source: Item 23 — RECEIPTS (FDD pages 43–166)

What This Means (2025 FDD)

According to Hydrodog's 2025 Franchise Disclosure Document, franchisees are required to pay all outstanding amounts to Hydrodog within fifteen (15) days after the termination or expiration of the franchise agreement. This includes royalties, marketing fund fees, contributions, amounts owed for purchases from Hydrodog, and any accrued interest. The specific date when these amounts become due is determined by Hydrodog, potentially extending beyond the initial fifteen-day period.

This means that upon termination or expiration of the franchise agreement, a Hydrodog franchisee must promptly settle all financial obligations with the franchisor. This encompasses not only regular fees like royalties and marketing contributions but also any outstanding payments for products or services purchased from Hydrodog. The agreement allows Hydrodog some flexibility in setting the due date for these payments, which could be later than the standard fifteen days.

It is important for prospective Hydrodog franchisees to understand the financial implications of terminating or not renewing their franchise agreement. They should be prepared to make a complete payment of all outstanding dues within the specified timeframe to avoid any potential legal or financial repercussions. This clause ensures that Hydrodog can recover all outstanding debts promptly upon the conclusion of the franchise relationship.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.