What happens if a Dryject franchisee is publicly accused in the media of a felony?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
- (x) Are indicted or arrested, charged, publicly accused in the national or regional media or convicted of any felony whatsoever, or if You are convicted of any crime involving fraud, deception or moral turpitude, or commit any crime or offense reasonably likely, in Our sole opinion, to materially and unfavorably affect the Licensed Rights, the marks and associated goodwill and reputation of Us, Our System, Our affiliates and/or Our other franchisees;
Source: Item 8 — BUSINESS RELATIONSHIP (FDD pages 68–229)
What This Means (2025 FDD)
According to the 2025 Dryject Franchise Disclosure Document, a franchisee can face serious repercussions if publicly accused of a felony in the national or regional media. Specifically, Dryject has the right to terminate the franchise agreement if a franchisee is indicted, arrested, charged, publicly accused in the national or regional media, or convicted of any felony.
This clause also extends to convictions of any crime involving fraud, deception, or moral turpitude. Furthermore, Dryject can terminate the agreement if a franchisee commits any crime or offense reasonably likely, in Dryject's sole opinion, to materially and unfavorably affect the licensed rights, the marks and associated goodwill and reputation of Dryject, its system, its affiliates, and/or its other franchisees.
This provision gives Dryject broad discretion to terminate a franchise agreement based on accusations or convictions, even before a formal conviction. The standard is whether the accusation or crime is "reasonably likely" to have a negative impact on Dryject's brand and reputation. This highlights the importance of maintaining a clean public image as a Dryject franchisee, as even accusations can lead to termination of the franchise agreement.