What happens if a DryJect franchisee who is an individual does not actively participate in the business?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
- (a) If You are an individual or individuals, then You acknowledge and agree that the grant of license in Section 3 is made by Us in reliance on Your personal attributes and in consideration of the trust and confidence which We place in You, and on Your representation that You will actively and substantially participate personally in the beneficial ownership and management of the DryJect Franchised Business.
Source: Item 8 — BUSINESS RELATIONSHIP (FDD pages 68–229)
What This Means (2025 FDD)
According to DryJect's 2025 Franchise Disclosure Document, if a franchisee is an individual, the grant of the DryJect license is made in reliance on the franchisee's personal attributes. It is also based on the trust and confidence that DryJect places in the franchisee. DryJect also relies on the franchisee's representation that they will actively and substantially participate personally in the beneficial ownership and management of the DryJect Franchised Business.
This means that DryJect expects individual franchisees to be actively involved in the day-to-day operations and management of their franchise. The agreement is made with the understanding that the individual's skills and efforts will be crucial to the success of the business.
If an individual franchisee does not actively participate in the business, it could be considered a breach of the franchise agreement. While the FDD does not explicitly state the consequences of non-participation, it implies that DryJect could take action to protect its interests, potentially including termination of the franchise agreement. Prospective franchisees should clarify with DryJect what specific actions or metrics define 'active and substantial participation' to avoid any misunderstandings.