In the event of a franchisee's failure to comply with Section 25, is Dryject entitled to injunctive relief?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
- (a) Nothing in this Agreement shall bar Our right to seek specific performance of the provisions of this Agreement and injunctive relief against threatened conduct that will cause Us loss or damages under customary equity rules, including applicable rules for obtaining restraining orders and preliminary injunctions. You specifically acknowledge that any failure by You to comply with the requirements of Sections 25, 26 and/or 27 of this Agreement will cause Us irreparable injury and that We shall be entitled to obtain specific performance of, and/or an injunction against any violation of, such requirements. You agree to pay all court costs and reasonable attorneys' fees incurred by Us in obtaining specific performance of, and/or an injunction against any violation of, the requirements of this Agreement. The foregoing remedies shall be in addition to any other legal or equitable remedies that We may possess.
- (b) You agree that We will not be required to post a bond to obtain any injunctive relief and that Your only remedy if an injunction is entered against You will be to seek the dissolution of that injunction, if warranted, upon due hearing (all claims for damages by reason of the wrongful issuance of such injunction being expressly waived hereby).
- (c) Should legal proceedings be brought against You to enforce any non-competition covenant or for Your failure to maintain confidentiality and protect against infringement, the period of restriction shall be deemed to begin running on the date of entry of an order granting Us injunctive relief and shall continue uninterrupted for the entire period of restriction.
Source: Item 8 — BUSINESS RELATIONSHIP (FDD pages 68–229)
What This Means (2025 FDD)
According to Dryject's 2025 Franchise Disclosure Document, Dryject retains the right to seek injunctive relief against a franchisee who fails to comply with Section 25 of the franchise agreement. Specifically, Section 25, along with Sections 26 and 27, are identified as areas where failure to comply will cause irreparable injury to Dryject.
Dryject is entitled to seek specific performance of the provisions outlined in the agreement and injunctive relief against any actions that threaten to cause loss or damages. This is under customary equity rules, including those for obtaining restraining orders and preliminary injunctions. The franchisee is also responsible for covering all court costs and reasonable attorney's fees incurred by Dryject in obtaining specific performance or an injunction due to a violation of the agreement.
The franchisee agrees that Dryject is not required to post a bond to obtain any injunctive relief. The franchisee's sole recourse if an injunction is issued against them is to seek the dissolution of that injunction if warranted, following a due hearing. The franchisee expressly waives any claims for damages resulting from the wrongful issuance of such an injunction. Furthermore, should legal proceedings arise to enforce any non-competition covenant or address a failure to maintain confidentiality and protect against infringement, the period of restriction begins on the date an order granting Dryject injunctive relief is entered and continues uninterrupted for the entire restriction period.