factual

What happens to the original Dryject franchise agreement upon renewal?

Dryject Franchise · 2025 FDD

Answer from 2025 FDD Document

  • (e) You execute Our then-current standard form of franchise agreement (with appropriate modifications to reflect that such agreement relates to the grant of a renewal franchise including application of Your prior years as a franchisee to the determination of the Annual Royalty Service Fee and Annual Minimum Service Fee) being executed by franchisees for new DryJect franchised businesses, which agreement shall supersede in all respects this Agreement and which may contain terms and conditions substantially different from those set forth in this Agreement, including, without limitation, a different royalty fee, different advertising expenditure requirements, and a smaller Designated Territory;
  • (f) You, except to the extent prohibited by state law, execute a general release, in a form prescribed by Us, of any and all claims You may have against Us and Our subsidiaries and affiliates, and their respective officers, directors, shareholders, members, managers, agents and employees;
  • (g) You, or a representative approved by Us or any other person who has an interest in You (if You are a group of individuals or a corporation, partnership, limited liability company, unincorporated association or similar entity) attend and satisfactorily complete such retraining or refresher training programs as We in Our sole discretion may require;
  • (h) You perform such replacements and upgrading as We may require to cause the Franchised Business' equipment and computer system to conform to the specifications being used for new DryJect franchised businesses on the renewal date; and,
  • (i) You pay to Us a Renewal Fee equal to twenty percent (20%) of the Initial Franchise Fee then being paid by new franchisees.

Source: Item 23 — RECEIPT (FDD pages 50–68)

What This Means (2025 FDD)

According to the 2025 Dryject Franchise Disclosure Document, upon renewal, the original franchise agreement is superseded in all respects by Dryject's then-current standard form of franchise agreement. This new agreement will be the one being executed by franchisees for new DryJect franchised businesses.

This new agreement may contain terms and conditions substantially different from the original agreement. These differences can include, but are not limited to, a different royalty fee, different advertising expenditure requirements, and a smaller Designated Territory. Therefore, a renewing franchisee should carefully review the new agreement to understand any changes to their obligations and rights.

To renew the franchise agreement, a Dryject franchisee must meet several conditions. These include satisfying all monetary obligations, executing the then-current franchise agreement and a general release of claims against Dryject, completing any required retraining, upgrading equipment to current standards, and paying a renewal fee equal to 20% of the initial franchise fee then being paid by new franchisees.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.