For Dryject franchisees in Rhode Island, where will litigation or arbitration arising under the Franchise Agreement take place, according to the Rhode Island Securities Division?

According to Dryject's 2025 Franchise Disclosure Document, the Rhode Island Securities Division mandates that any litigation or arbitration arising from the Franchise Agreement must occur within Rhode Island. However, there is an exception: the franchisee and Dryject can mutually agree to hold such proceedings in another location. This stipulation overrides any conflicting provisions in Item 17v and Item 17w of the standard Franchise Disclosure Document.

This requirement ensures that Rhode Island franchisees are not forced to litigate or arbitrate disputes in a distant or inconvenient forum. It aims to protect franchisees by providing a more accessible and potentially less costly venue for resolving legal issues with Dryject. The ability to mutually agree on an alternative location provides some flexibility, but the default location is Rhode Island.

This type of state-specific addendum is common in franchising, as states often have laws to protect franchisees within their jurisdiction. Prospective Dryject franchisees in Rhode Island should be aware of this provision, as it significantly impacts where legal disputes with the franchisor will be resolved. It is advisable to consult with a legal professional to fully understand the implications of this clause and how it may affect their rights and obligations under the Franchise Agreement.