What is the effect of the Minnesota Rider on the Dryject Franchise Agreement's provisions regarding the franchisee's rights?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
ount to cover the transfer or if my (our) Financial Institution for any other reason refuses to honor a transfer, I (we) will separately pay for the charges I (we) owe under my (our) Franchise Agreement with DryJect Management, LLC.
| AMENDMENT TO DRYJECT MANAGEMENT, LLC | ||
|---|---|---|
| FRANCHISE AGREEMENT | ||
| REQUIRED BY THE STATE OF MINNESOTA | ||
| THIS RIDER (the “Rider”) is effective as of _______________________, 20 (the | ||
| “Agreement Date”), and amends the Franchise Agreement dated ________, 20 | ||
| (the “Agreement”), between DRYJECT MANAGEMENT, LLC (hereinafter referred to as | ||
| “DryJect” or “Company”), with its principal office at 307 Lincoln Ave., Hatboro, PA | ||
| 19040 and _______________ (“Franchise Owner”), whose mailing address is | ||
| _______________. | 1. Precedence and Defined Terms. This Rider is an integral part of, and is incorporated into, the Agreement. Nevertheless, this Rider supersedes any inconsistent or conflicting provisions of the Agreement. Terms not otherwise defined in this Rider have the meanings as defined in the Agreement. 2. Renewal. Sub-section 6(f) of the Agreement 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. |
Source: Item 8 — BUSINESS RELATIONSHIP (FDD pages 68–229)
What This Means (2025 FDD)
According to the 2025 Dryject Franchise Disclosure Document, the Minnesota Rider modifies the standard franchise agreement to protect the rights of franchisees operating in Minnesota. Specifically, the rider addresses waivers of rights, injunctive relief, jurisdiction, and limitations on claims to comply with Minnesota law. This ensures that Minnesota franchisees are not unfairly disadvantaged by standard agreement terms.
The rider explicitly states that it supersedes any conflicting provisions in the original agreement, giving it precedence in legal matters within Minnesota. It clarifies that franchisees cannot be forced to waive their right to a jury trial or any legal procedures, forums, or remedies available under Minnesota law. Additionally, franchisees cannot consent to liquidated damages, termination procedures, or judgment notes. While Dryject may seek injunctive relief, franchisees cannot waive their rights or consent to Dryject obtaining such relief.
The Minnesota Rider also addresses jurisdictional issues, prohibiting Dryject from requiring litigation to occur outside of Minnesota or from enforcing waivers of jury trials, liquidated damages, termination penalties, or judgment notes. Furthermore, the rider ensures that nothing in the franchise agreement reduces a franchisee's rights under Minnesota Statutes, Chapter 80C. The rider also limits the time frame for commencing legal actions, aligning it with Minn. Stat. § 80C.17, subdivision 5, which prohibits actions more than three years after the cause of action accrues.
Dryject also commits to protecting the franchisee's right to use Dryject's trademarks and provides indemnity against losses arising from claims related to the use of the Dryject name. This protection, along with the other provisions in the Minnesota Rider, aims to create a fairer and legally compliant franchise agreement for Dryject franchisees operating within the state of Minnesota.