Who is responsible for costs and expenses resulting from dishonored electronic funds transfers to Dryject?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
I (We, if joint account) the undersigned hereby authorize DryJect Management, LLC, a Pennsylvania limited liability company, with principal offices at 307 Lincoln Avenue, Hatboro, Pennsylvania 19040, to initiate electronic transfer of funds out of my (our) primary Checking or Savings selected below at the Financial Institution indicated, for payment of Royalty Service Fees or other amounts which I may owe DryJect Management, LLC. I (We) acknowledge that the origination of Automated Clearing House (ACH) transactions to my (our) account must comply with the provisions of the United States law. All costs and expenses, including any resulting from the dishonor by my (our) bank of any electronic funds transfer, shall be my (our) sole responsibility. This authorization is irrevocable and shall remain in effect until the termination or expiration of the underlying Franchise Agreement with DryJect Management, LLC. If I (we) do not have enough money in my (our) account to cover the transfer or if my (our) Financial Institution for any other reason refuses to honor a transfer, I (we) will separately pay for the charges I (we) owe under my (our) Franchise Agreement with DryJect Management, LLC.
Source: Item 8 — BUSINESS RELATIONSHIP (FDD pages 68–229)
What This Means (2025 FDD)
According to Dryject's 2025 Franchise Disclosure Document, the franchisee is responsible for all costs and expenses resulting from dishonored electronic funds transfers (EFT). This includes any costs incurred due to a bank's dishonor of an electronic funds transfer. This requirement is outlined in Addendum F to the Franchise Agreement, which covers the Electronic Funds Transfer (EFT) Authorization Agreement for Direct Payments.
This means that if a franchisee's bank refuses to honor an EFT for any reason, such as insufficient funds, the franchisee is responsible for covering the charges owed to Dryject under the Franchise Agreement. The franchisee is also responsible for any fees or expenses incurred as a result of the dishonored transfer.
This authorization for EFT is irrevocable and remains in effect for the duration of the Franchise Agreement. Therefore, it's crucial for prospective Dryject franchisees to ensure they maintain sufficient funds in their designated accounts to cover all electronic fund transfers to avoid these additional costs and potential issues with Dryject.