What is the effect of the Minnesota Rider on the Dryject Franchise Agreement's provisions regarding the franchisee's obligations?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
of the Agreement is amended by deleting the last sentence in its entirety and replacing it with the following:
"In the event Franchise Owner does not commence operating the Franchised Business within the time period set forth herein, this Agreement shall be deemed terminated, and the Initial Franchise Fee may be kept by the Company to reimburse itself for lost opportunity costs, costs and/or expenses."
- Termination. Section 32 of the Agreement is amended to add the following:
With respect to franchises governed by Minnesota Law, DryJect® will comply with Minn. Stat. Sec. 80c.14, subds. 3, 4, and 5, which require, except in certain specified cases, that Franchise Owner be given 90 days' notice of termination (with 60 days to cure) and 180 days' notice for nonrenewal of the franchise agreement and that consent to the transfer of the franchise will not be unreasonably withheld.
6.
Source: Item 8 — BUSINESS RELATIONSHIP (FDD pages 68–229)
What This Means (2025 FDD)
According to Dryject's 2025 Franchise Disclosure Document, the Minnesota Rider modifies several provisions of the standard franchise agreement to comply with Minnesota law and to protect the franchisee's rights. The Rider takes precedence over any conflicting terms in the original agreement.
Specifically, the Minnesota Rider addresses termination and non-renewal of the franchise agreement, stating that Dryject will comply with Minn. Stat. Sec. 80c.14, subds. 3, 4, and 5. This statute requires Dryject to provide the franchisee with 90 days' notice of termination (with 60 days to cure the issue) and 180 days' notice for nonrenewal, except in certain specified cases. Additionally, the Rider ensures that Dryject will not unreasonably withhold consent to the transfer of the franchise.
The Rider also addresses legal matters, clarifying that Dryject cannot force franchisees into litigation outside of Minnesota or require them to waive their right to a jury trial. Furthermore, franchisees cannot be compelled to consent to liquidated damages, termination penalties, or judgment notes. The Rider also ensures Dryject will protect the franchisee's right to use DryJect's trademarks and trade names, and will indemnify the franchisee from losses, costs, or expenses from claims regarding the use of the name. Finally, any action commencing section is prohibited more than three years after the cause of action accrues, according to Minn. Stat. § 80C.17, subdivision 5.