When must I submit an amended Addendum B to Dryject regarding changes in Key Employees?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
You shall identify all of Your Key Employees in Addendum B of this Agreement. Each individual listed in Addendum B as a Key Employee no matter when so listed, at Our option, shall attend Our Initial Training Program, and shall thereafter be jointly and severally responsible for operating the Franchised Business in accordance with the standards of Our System and this Agreement. You represent and warrant that each of the individuals designated in Addendum B will at all times abide by the System Standards of Our System, this Agreement, and the Licensed Rights; that You will at all times assume personal responsibility for their continued compliance with those System Standards; and that You will promptly notify Us if any of them shall at any time during the Term of this Agreement divest themselves of ownership, partnership, membership, or employment, as the case may be, with You. You shall amend Addendum B and submit the amended Addendum to Us whenever there is any change in Your list of Key Employees. We reserve the right to require certain individuals to be included in Your list of Key Employees.
Source: Item 8 — BUSINESS RELATIONSHIP (FDD pages 68–229)
What This Means (2025 FDD)
According to Dryject's 2025 Franchise Disclosure Document, you must amend Addendum B and submit it to Dryject whenever there is any change in your list of Key Employees. A "Key Employee" is defined as anyone who is an owner, partner, member, and/or employee who acts in a management, supervisory, or sales capacity for or on behalf of the Franchised Business.
This means that if someone who is listed as a Key Employee leaves your business or if you add someone new who fits the definition of a Key Employee, you are obligated to update Addendum B and provide the updated document to Dryject. This requirement ensures that Dryject is kept informed about who is managing and representing the franchise, as these individuals are jointly and severally responsible for operating the Franchised Business according to Dryject's standards.
Dryject also retains the right to require certain individuals to be included in your list of Key Employees. This provision gives Dryject control over who is considered a key person in your franchise operation, allowing them to ensure that individuals in critical roles meet their standards and potentially participate in their Initial Training Program. Keeping Addendum B up-to-date is crucial for maintaining compliance with the franchise agreement and ensuring that Dryject has current information about the individuals responsible for the franchise's operation.