Does the Dryject agreement specify who is responsible for legal costs arising from the franchisee's actions?

According to the 2025 Dryject FDD, Dryject will protect the franchisee's right to use its trademarks, service marks, trade names, logotypes, or other commercial symbols. Dryject will indemnify the franchisee from any loss, costs, or expenses arising out of any claim, suit, or demand regarding the use of the Dryject name. This means that if a legal issue arises from the franchisee's authorized use of Dryject's brand elements, Dryject will cover the associated costs and protect the franchisee's right to use those brand elements.

This protection extends specifically to claims related to the use of Dryject's trademarks and trade names. However, this indemnity likely does not cover legal costs arising from other actions by the franchisee, such as disputes with customers or vendors, or failure to comply with local regulations. The FDD excerpt focuses on protecting the franchisee's right to use Dryject's intellectual property and brand identity.

It is important for a prospective Dryject franchisee to understand the scope of this protection and what types of legal costs are not covered. Franchisees should seek clarification from Dryject regarding specific scenarios and consider obtaining their own legal counsel to assess their overall risk and insurance needs. Understanding the limitations of Dryject's indemnity is crucial for managing potential legal liabilities in the operation of the franchise.