Does the Dryject agreement specify that the franchisee is responsible for actions arising from an allegation of a violation of labor or employment law?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
| “DryJect will protect Franchise Owner’s right to use the trademarks, service | |
|---|---|
| marks, trade names, logotypes or other commercial symbols or indemnify | |
| Franchise Owner from any loss, costs or expenses arising out of any claim, | |
| suit or demand regarding the use of the name.” | |
| 7. Waiver of Rights and Injunctive Relief. Under Minn. Rule 2860.4400J, | |
| the Agreement is amended to include that it shall be unfair and inequitable | |
| for any person to require a franchisee to waive his or her rights to a jury trial | |
| or waive rights to any procedure, forum, or remedies provided by the laws | |
| of the jurisdiction, or to consent to liquidated damages, termination | |
| procedures, or judgment notes; provided that the foregoing shall not bar an | |
| exclusive arbitration clause. Under Minn. Rule 2860.4400J, a franchisee | |
| cannot waive any rights or consent to the franchisor obtaining injunctive | |
| relief (although the franchisor may seek injunctive relief). Each reference in | |
| the Agreement to the phrase “Franchise Owner consents that DryJect is | |
| entitled to injunctive relief” or words of similar import shall be deleted and | |
| the phrase “DryJect may seek injunctive relief” shall be inserted in its place. | |
| 8. Jurisdiction. The following is added to Section 48: |
Source: Item 8 — BUSINESS RELATIONSHIP (FDD pages 68–229)
What This Means (2025 FDD)
Based on the 2025 Dryject Franchise Disclosure Document, it is not explicitly stated whether the franchisee is responsible for actions arising from an allegation of a violation of labor or employment law. However, the FDD does state that Dryject will protect the franchisee's right to use trademarks, service marks, trade names, logotypes, or other commercial symbols, and will indemnify the franchisee from any loss, costs, or expenses arising out of any claim, suit, or demand regarding the use of the name. This suggests that Dryject may offer some protection to the franchisee in certain legal situations.
Additionally, the FDD includes clauses related to the trainee's actions and agreements. The franchisee undertakes to use their best efforts to ensure that the trainee acts as required by the agreement. The trainee agrees not to divert business or customers to any competitor and acknowledges that a breach of the agreement would cause irreparable injury to Dryject. In the event of a breach by the trainee, Dryject is entitled to enforce the provisions of the agreement against both the franchisee and the trainee, and may seek injunctive relief and specific performance.
To fully understand the franchisee's responsibility regarding labor and employment law violations, a prospective franchisee should seek clarification from Dryject regarding specific scenarios and potential liabilities. It would be prudent to consult with a legal professional to review the franchise agreement and assess the potential risks and obligations related to labor and employment law.