Does the Dryject agreement specify that the franchisee's indemnification extends to the franchisor's members?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
is amended by deleting that Subsection in its entirety. | | | |I (we) acknowledge that these funds will be debited on the fifteenth day of each month or the closest business day thereafter or other day as designated in the Operations Manual.
| “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: | |
| Minn. Stat. Sec. 80C.,21 and Minn. Rules 2860.4400J prohibit DryJect from | |
| requiring litigation to be conducted outside Minnesota, requiring waiver of | |
| a jury trial, or requiring the franchisee to consent to liquidated damages, | |
| termination penalties or judgment notes. In addition, nothing in the | |
| disclosure document or franchise agreement can abrogate or reduce any of | |
| Franchise Owner’s rights as provided for in Minnesota Statutes, Chapter | |
| 80C, or Franchise Owner’s rights to any procedure, forum or remedies | |
| provided for by the laws of the jurisdiction. Intending to be bound, DryJect | |
| signs and delivers this Rider in 2 counterparts effective on the Agreement | |
| Date, regardless of the actual date of signature. | |
| 9. Limitation on Claims. |
Source: Item 8 — BUSINESS RELATIONSHIP (FDD pages 68–229)
What This Means (2025 FDD)
Based on the 2025 Dryject Franchise Disclosure Document excerpts provided, there is no explicit mention of the franchisee's indemnification extending to the franchisor's members. The excerpts focus on trade secrets, non-disclosure agreements, and restrictions on business activities for trainees and signers, as well as clauses related to trademark protection and legal rights within Minnesota. Indemnification is mentioned in the context of Dryject protecting the Franchise Owner's right to use trademarks and trade names, and indemnifying them from losses related to claims arising from the use of the name. However, this does not specify whether this protection extends to the franchisor's members.
Given the absence of a direct statement about indemnification of the franchisor's members, prospective Dryject franchisees should carefully review the full franchise agreement and consult with legal counsel to fully understand their potential liabilities and obligations. It is important to clarify whether the indemnification clause extends beyond the franchisor to cover its members, managers, or other related parties. This understanding is crucial for assessing the overall risk associated with the franchise.
To gain clarity, a prospective franchisee should ask Dryject for specific details regarding indemnification. This includes requesting clarification on whether the franchisee's indemnification obligations extend to the franchisor's members, managers, or other related parties. Understanding the scope of indemnification is essential for making an informed decision about investing in a Dryject franchise.