Is a Dryject franchisee allowed to contest the validity or ownership of the Licensed Rights during or after the term of the agreement?

According to Dryject's 2025 Franchise Disclosure Document, franchisees are prohibited from contesting the validity or ownership of the Licensed Rights. The agreement explicitly states that during the term of the agreement, as well as after its expiration or termination, the franchisee cannot directly or indirectly contest or assist in contesting the validity or ownership of the Licensed Rights. Furthermore, franchisees are barred from taking any action that could undermine the rights claimed by Dryject in the agreement.

This provision ensures that Dryject maintains control over its trademarks, service marks, trade names, and other intellectual property. It protects the brand's identity and reputation by preventing franchisees from challenging Dryject's ownership or attempting to use the Licensed Rights in a way that could harm the brand.

For a prospective Dryject franchisee, this means they must acknowledge and respect Dryject's ownership of the Licensed Rights. They cannot take any action that could be interpreted as an attempt to undermine Dryject's intellectual property. This is a standard clause in most franchise agreements, as franchisors need to protect their brand and system from legal challenges by franchisees.

This restriction remains in effect not only during the term of the franchise agreement but also after its expiration or termination. This extended restriction is designed to prevent former franchisees from leveraging their knowledge of the Dryject system to challenge the brand's intellectual property rights once they are no longer part of the franchise network.