factual

If Dryject or another franchisee supplies goods or services to a Reserved Account within a Dryject franchisee's territory, is the original franchisee entitled to compensation?

Dryject Franchise · 2025 FDD

Answer from 2025 FDD Document

  • (a) You shall have the right to operate a DryJect Franchised Business, and to use Our Licensed Rights in Franchisee's Designated Territory. We will not grant to others (nor reserve unto ourselves except as specified in this Agreement) the right to operate a DryJect business within Your Designated Territory. However, We reserve the right to establish policies pertaining to the sale of products and services at discounted rates to customers operating multiple facilities, some of which may be located within Your Designated Territory ("Reserved Accounts"). In the event that You do not agree to provide a Reserved Account with the contracted goods or services for a facility operated within Your Designated Territory at the discounted rate, or You are unable to provide the required goods or services within Your Designated Territory, We, any of Our affiliates or another of Our franchisees may supply the goods or services, and You shall not be entitled to receive any fee or other compensation associated with the transaction.

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

What This Means (2025 FDD)

According to Dryject's 2025 Franchise Disclosure Document, a franchisee is not entitled to compensation if Dryject, its affiliates, or another franchisee supplies goods or services to a Reserved Account within the franchisee's designated territory under specific circumstances. Dryject reserves the right to establish policies for discounted rates to customers operating multiple facilities, some within a franchisee's territory, which are termed "Reserved Accounts."

If a Dryject franchisee does not agree to provide the contracted goods or services to a Reserved Account within their territory at the discounted rate, or if they are unable to fulfill the required services, Dryject, its affiliates, or another franchisee may step in to supply those goods or services.

In such instances, the original franchisee will not be entitled to any fee or compensation related to the transaction. This condition is a notable exception to the territorial rights granted to Dryject franchisees, and it is essential for prospective franchisees to understand the potential impact on their revenue within their designated area.

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.