For Dryject franchises in Indiana, what sections of Item 17 are amended to remove references to out-of-Indiana forum or choice of law?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
ADDENDUM TO FRANCHISE DISCLOSURE DOCUMENT FOR STATE OF INDIANA
Amendment to Item 17 of the FDD:
Item 17 of the Disclosure Document, Sections (u), (v), and (w), is amended to omit any reference to selection of an out-of-Indiana forum or choice of law.
The franchise agreement requires application of the laws of Pennsylvania. This provision is deleted from the Indiana Franchise Agreement.
The franchise agreement requires you to sign a general release of claims as a condition of renewing or transferring the franchise. Under the law of Indiana any provision that purports to bind a person acquiring a franchise to waive compliance with the franchise laws of Indiana is void. Item 17 of the Disclosure Document, Sections (c) (renewal) and (m) (transfer), is amended to omit the requirements that an Indiana Franchisee sign a general release of claims as a condition of renewal or transfer. This will not prevent Franchisor from requiring you to sign a general release of claims as part of a settlement of a dispute.
Source: Item 8 — BUSINESS RELATIONSHIP (FDD pages 68–229)
What This Means (2025 FDD)
According to Dryject's 2025 Franchise Disclosure Document, Item 17 is amended for franchises in Indiana to omit any reference to selecting a legal forum outside of Indiana or choosing laws other than those of Indiana. Specifically, Sections (u), (v), and (w) of Item 17 are amended to remove these references. Additionally, the standard franchise agreement requires the application of Pennsylvania law, but this provision is deleted from the Indiana Franchise Agreement.
This amendment is significant for prospective Dryject franchisees in Indiana because it ensures that any legal disputes or interpretations of the franchise agreement will be handled within the state, under Indiana law. This can provide a more familiar and potentially advantageous legal environment for the franchisee, as they would not be subject to the laws or court systems of other states like Pennsylvania.
Furthermore, the Indiana addendum addresses the requirement to sign a general release of claims upon renewal or transfer of the franchise. Under Indiana law, any provision that forces a franchisee to waive compliance with Indiana franchise laws is void. Therefore, Sections (c) (renewal) and (m) (transfer) of Item 17 are amended to remove the requirement for an Indiana franchisee to sign a general release of claims as a condition of renewal or transfer, although Dryject can still require a release as part of settling a specific dispute.