When does the Maryland Addendum to the Dryject Franchise Agreement become effective?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
MARYLAND ADDENDUM TO FRANCHISE AGREEMENT
This Addendum to Franchise Agreement is effective as of the date Franchisor and Franchise Owner execute the Franchise Agreement, and amends the Franchise Agreement as follows:
Section 7 (a) of the Franchise Agreement is amended by adding the following:
"Based upon the franchisor's financial condition, the Maryland Securities Commissioner has required a financial assurance. Therefore, all initial fees and payments owed by franchisees shall be deferred until the franchisor completes its pre-opening obligations under the Franchise Agreement."
Sections 6(f) and 28(d)(viii) of the Franchise Agreement say that the we may require you to sign a general release of claims as a condition of renewal or transfer of your franchise. Under Maryland law (COMAR 02.02.08.16L), this condition will not apply to any liability under the Maryland Franchise Registration and Disclosure Law.
The Franchise Agreement and the Franchise Compliance Questionnaire are amended as follows:
"All representations requiring prospective franchisees to assent to a release, estoppel or waiver of liability are not intended to nor shall they act as a release, estoppel or waiver of any liability incurred under the Maryland Franchise Registration and Disclosure Law."
Source: Item 8 — BUSINESS RELATIONSHIP (FDD pages 68–229)
What This Means (2025 FDD)
According to Dryject's 2025 Franchise Disclosure Document, the Maryland Addendum to the Franchise Agreement becomes effective on the date that Dryject and the franchise owner execute the Franchise Agreement. This addendum serves to amend the original Franchise Agreement.
Specifically, the addendum modifies Section 7(a) of the Franchise Agreement, addressing initial fees and payments. Due to Dryject's financial condition, the Maryland Securities Commissioner requires a financial assurance. As a result, all initial fees and payments owed by franchisees in Maryland are deferred until Dryject completes its pre-opening obligations under the Franchise Agreement.
Additionally, the Maryland Addendum clarifies conditions regarding releases and waivers. It states that any representations requiring prospective franchisees to release, estop, or waive liability will not act as a release, estoppel, or waiver of any liability incurred under the Maryland Franchise Registration and Disclosure Law. This ensures that franchisees retain their rights under Maryland law, despite any potentially conflicting terms in the standard Franchise Agreement or Franchise Compliance Questionnaire.