Does the Dryer Vent Squad Franchise Agreement constitute an employment agreement?

According to the 2024 Dryer Vent Squad Franchise Disclosure Document, the Franchise Agreement itself is not an employment agreement. However, the FDD includes a sample confidentiality agreement that Dryer Vent Squad franchisees may use with their employees or independent contractors. This sample agreement explicitly states that it is not an employment agreement but rather a confidentiality agreement related to information, materials, and access provided in connection with the Dryer Vent Squad Business.

This distinction is important for prospective franchisees because it clarifies the relationship between the franchisee and their staff versus the relationship created by the Franchise Agreement itself. The Franchise Agreement establishes a business relationship between the franchisee and DVS Holdings, Inc., the franchisor. Any staff a franchisee hires are employed by the franchisee, not the franchisor, and should be covered by their own employment agreements and confidentiality agreements.

Dryer Vent Squad franchisees should consult with their own legal counsel to ensure that any employment or contractor agreements they use comply with local laws and adequately protect their business interests and confidential information. The FDD recommends that franchisees have the sample confidentiality agreement reviewed and approved by an independent local attorney before using it with an employee or contractor.