During the Dryject agreement term, who has the right to inspect a franchisee's business interests to determine compliance with Section 25?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
- (k) During the Term of this Agreement, any of Our officers or area supervisors shall have the right to inspect any business interest in which You or a Key Employee has an interest, at reasonable times and during normal business hours, to the extent reasonably necessary to determine whether the conditions of this Section are being satisfied.
If, by reason of such inspections or otherwise, We have reason to believe that You are in default of this Section 25, and You are so notified by Us, You shall have the burden of establishing that You are not in default.
You shall respond to any default notice under this Section within five (5) days.
With regard to any such default, We shall have the right to pursue any and all rights of remedy and enforcement available to Us, either at law or in equity, and You shall immediately take all steps to cure said default in a manner satisfactory to Us.
The provisions of this Section shall survive any termination or expiration of this Agreement or any renewals.
Source: Item 8 — BUSINESS RELATIONSHIP (FDD pages 68–229)
What This Means (2025 FDD)
According to Dryject's 2025 Franchise Disclosure Document, during the term of the agreement, any of Dryject's officers or area supervisors have the right to inspect any business interest in which the franchisee or a key employee has an interest. This inspection can occur at reasonable times and during normal business hours. The purpose of the inspection is to determine whether the conditions of Section 25 of the agreement, which covers covenants of non-solicitation, non-disclosure, and non-competition, are being met.
If Dryject, based on these inspections or other information, believes that a franchisee is in default of Section 25, Dryject will notify the franchisee. The franchisee then has the responsibility to prove that they are not in default. The franchisee must respond to this notice within five days and take immediate steps to correct any default in a way that satisfies Dryject.
Dryject retains the right to pursue any legal remedies available to them if a franchisee defaults on Section 25. This includes the right to take legal action or seek equitable relief. These inspection rights and obligations remain in effect even after the termination or expiration of the franchise agreement.