What rights does a Dryject franchisee have to operate a Dryject Franchised Business within their Designated Territory?
Dryject Franchise · 2025 FDDAnswer 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.
- (b) We reserve the right to use and franchise within Your Designated Territory any other trade names and trademarks that We might develop and not designate as Licensed Rights in the future, for use with similar or different franchise systems. You are granted no automatic rights to acquire additional franchises within Your Designated Territory, or within any contiguous territories.
- (c) Notwithstanding the provisions of the above Subsection 4(a), We specifically reserve the right to develop, grant, license or use additional distribution methods for the sale of Our trademarked merchandise, including wholesalers and retailers, but not for DryJect turf aeration services within Your Designated Territory.
- (d) As long as You are in compliance with all terms and conditions of this Agreement, We may not otherwise alter Your Designated Territory, as it is defined in this Agreement, and as it is more specifically identified in Addendum A to this Agreement.
- (e) You agree that You will not accept business nor perform services outside of Your Designated Territory without Our prior written approval. If You accept business from outside Your Designated Territory, which business is located in another franchise owner's designated territory, then We have the right to require You to forfeit all of the Gross Revenues You earned in the designated territory to the franchise owner who operates within the designated territory where that business is located. However, You may accept business resulting from referrals or unsolicited inquiries from customers outside Your Designated Territory if that business is not located in another franchise owner's designated territory.
- (f) You also agree that we may purchase, merge, acquire, be acquired by or affiliate with an existing competitive or non-competitive franchise or non-franchise network, chain or any other business regardless of the location of that other business' facilities, and that following such activity we may operate, franchise or license those other businesses and/or facilities under any names or marks other than (while this Agreement is in effect) the Marks, regardless of the location of these businesses and/or facilities, which may be within the Designated Territory or immediately proximate to the Designated Territory.
Source: Item 23 — RECEIPT (FDD pages 50–68)
What This Means (2025 FDD)
According to the 2025 Dryject Franchise Disclosure Document, a franchisee has the right to operate a DryJect Franchised Business and use the Licensed Rights within their Designated Territory. Dryject will not grant others the right to operate a DryJect business within the franchisee's territory, but Dryject retains the right to establish policies for discounted rates to customers operating multiple facilities, some of which may be in the franchisee's territory. These are considered "Reserved Accounts".
If a Dryject franchisee does not agree to provide a Reserved Account with goods or services at the discounted rate, or is unable to provide the required goods or services within their territory, Dryject, its affiliates, or another franchisee may supply the goods or services. In this case, the original franchisee is not entitled to any compensation from the transaction. Dryject also reserves the right to use and franchise other trade names and trademarks they might develop in the future, even within the franchisee's Designated Territory, and the franchisee is not automatically granted rights to acquire additional franchises within their territory or contiguous territories.
Dryject retains the right to develop, grant, license, or use additional distribution methods for the sale of their trademarked merchandise, including wholesalers and retailers, within the franchisee's Designated Territory, but not for DryJect turf aeration services. As long as the franchisee complies with the terms of the agreement, Dryject may not alter the franchisee's Designated Territory. The franchisee is not allowed to accept business or perform services outside of their Designated Territory without prior written approval from Dryject. If a franchisee does conduct business in another franchisee's territory, Dryject has the right to require the franchisee to forfeit all gross revenues earned in that territory to the franchisee who operates within that designated territory. However, a franchisee may accept business resulting from referrals or unsolicited inquiries from customers outside their Designated Territory if that business is not located in another franchisee's designated territory.
Dryject also retains the right to purchase, merge, acquire, be acquired by, or affiliate with an existing competitive or non-competitive franchise or non-franchise network, chain, or any other business, regardless of the location of that other business' facilities. Following such an activity, Dryject may operate, franchise, or license those other businesses and/or facilities under any names or marks other than the DryJect Marks, even if these businesses and/or facilities are within or near the Designated Territory.