factual

What specific actions is Dryject authorized to take regarding telephone companies on behalf of the franchisee upon termination?

Dryject Franchise · 2025 FDD

Answer from 2025 FDD Document

Without limiting the generality of the foregoing, Franchisee hereby grants to Franchisor the power and right to do the following:

  • 2.3.1 Direct the Telephone Companies to transfer all Franchisee's Interest in and to the Telephone Numbers and Listings to Franchisor;

  • 2.3.2 Direct the Telephone Companies to terminate any or all of the Telephone Numbers and Listings; and

  • 2.3.3 Execute the Telephone Companies' standard assignment forms or other documents in order to affect such transfer or termination of Franchisee's Interest.

  • 2.4 Certification of Termination. Franchisee hereby directs the Telephone Companies that they shall accept, as conclusive proof of Termination of the Franchise Agreement, Franchisor's written statement, signed by an officer or agent of Franchisor, that the Franchise Agreement has terminated.

  • 2.5 Cessation of Obligations. After the Telephone Companies have duly transferred all Franchisee's Interest in such Telephone Numbers and Listings to Franchisor, as between Franchisee and Franchisor, Franchisee will have no further Interest in, or obligations under, such Telephone Numbers and Listings. Notwithstanding the foregoing, Franchisee will remain liable to each and all of the Telephone Companies for the sums Franchisee is obligated to pay such Telephone Companies for obligations Franchisee incurred before the date Franchisor duly accepted the transfer of such Interest, or for any other obligations not subject to the Franchise Agreement or this Telephone Listing Agreement.

Source: Item 8 — BUSINESS RELATIONSHIP (FDD pages 68–229)

What This Means (2025 FDD)

According to Dryject's 2025 Franchise Disclosure Document, upon termination of the franchise agreement, Dryject has specific authority regarding the franchisee's telephone numbers and listings. Dryject can direct telephone companies to transfer all of the franchisee's interest in telephone numbers and listings to Dryject. Additionally, Dryject can instruct telephone companies to terminate any or all of the franchisee's telephone numbers and listings. Dryject is also authorized to execute the telephone companies' standard assignment forms or other documents to affect the transfer or termination of the franchisee's interest.

Dryject's written statement, signed by an officer or agent of Dryject, serves as conclusive proof of the franchise agreement's termination, which the telephone companies must accept. Once the telephone companies have transferred all of the franchisee's interest in the telephone numbers and listings to Dryject, the franchisee no longer has any interest in or obligations related to those telephone numbers and listings, as between the franchisee and Dryject.

However, the franchisee remains liable to the telephone companies for any sums they were obligated to pay before Dryject accepted the transfer of interest, or for any other obligations not subject to the franchise agreement or the Telephone Listing Agreement. The Telephone Listing Agreement survives the termination of the Franchise Agreement, meaning these obligations continue even after the franchise relationship ends. This ensures Dryject can maintain control over the business's phone presence and customer contacts after a franchise terminates, while the franchisee remains responsible for outstanding debts.

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.