Where can I find the provisions of the Dryject Franchise Agreement mentioned in Item 17?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
THE WISCONSIN FRANCHISE INVESTMENT LAW MAKES IT UNLAWFUL TO OFFER OR SELL ANY FRANCHISE IN THIS STATE WHICH IS SUBJECT TO REGISTRATION WITHOUT FIRST PROVIDING TO THE PROSPECTIVE FRANCHISEE AT LEAST 7 DAYS PRIOR TO THE EXECUTION BY THE PROSPECTIVE FRANCHISEE OF ANY BINDING FRANCHISE OR OTHER AGREEMENT, OR AT LEAST 7 DAYS PRIOR TO THE PAYMENT OF ANY CONSIDERATION, BY THE FRANCHISEE, WHICHEVER OCCURS FIRST, A COPY OF THIS PUBLIC OFFERING STATEMENT, TOGETHER WITH A COPY OF ALL PROPOSED AGREEMENTS RELATING TO THE FRANCHISE. THIS PUBLIC OFFERING STATEMENT CONTAINS A SUMMARY ONLY OF CERTAIN MATERIAL PROVISIONS OF THE FRANCHISE AGREEMENT. THE CONTRACT OR AGREEMENT SHOULD BE REFERRED TO FOR AN UNDERSTANDING OF ALL RIGHTS AND OBLIGATIONS OF BOTH THE FRANCHISOR AND THE FRANCHISEE.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 39–41)
What This Means (2025 FDD)
According to the 2025 Dryject FDD, the provisions of the Dryject Franchise Agreement mentioned in Item 17 can be found within the franchise agreement itself. Specifically, the addendum for the state of Wisconsin states that the public offering statement contains a summary of certain material provisions of the franchise agreement, but the actual contract or agreement should be referred to for a complete understanding of all rights and obligations of both Dryject and the franchisee. This means that while Item 17 summarizes certain aspects like renewal, termination, transfer, and dispute resolution, the full details are in the agreement.
For prospective Dryject franchisees in Wisconsin, it's crucial to review the actual franchise agreement alongside the FDD. The FDD provides a summary, but the agreement spells out the complete legal obligations. Furthermore, the addendum highlights that certain provisions in Item 17 may be superseded by the Wisconsin Fair Dealership Law, particularly those related to termination and renewal. This law provides franchisees with specific rights, such as a 90-day notice of termination and 60 days to remedy any deficiencies.
For potential franchisees in Maryland and Minnesota, there are addendums that affect Item 17. In Maryland, there are specific stipulations regarding choice of forum and the ability to bring lawsuits in Maryland for claims arising under the Maryland Franchise Registration and Disclosure Law. In Minnesota, there are amendments related to termination, nonrenewal, and transfer of the franchise, ensuring compliance with Minnesota Statutes. These amendments also address litigation, jury trial waivers, and the franchisee's rights under Minnesota Statutes, Chapter 80C.
Therefore, a Dryject franchisee needs to carefully examine the franchise agreement and any state-specific addenda to fully understand their rights and obligations. Relying solely on the summaries in the FDD could lead to misunderstandings or missed details, especially concerning legal rights and obligations that vary by state.