Under the Dryject agreement, does the expiration or termination of the agreement release the franchisee from any accrued liability or obligation?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
All rights and remedies of the parties hereto shall be cumulative and not alternative, in addition to and not exclusive of any other rights or remedies which are provided for in this Agreement or which may be available at law or in equity in case of any actual or threatened breach, failure or default of any term, provision or condition of this Agreement or any other agreement between You and Us or Our affiliates. The rights and remedies of the parties under this Agreement shall be continuing and may be exercised at any time or from time to time. The expiration, earlier termination, or exercise of Our rights pursuant to Section 32 of this Agreement shall not discharge or release You from any liability or obligation then accrued, or any liability or obligation continuing beyond, or arising out of, the expiration, the earlier termination, or the exercise of such rights under this Agreement.
Source: Item 8 — BUSINESS RELATIONSHIP (FDD pages 68–229)
What This Means (2025 FDD)
According to Dryject's 2025 Franchise Disclosure Document, the expiration or termination of the franchise agreement does not automatically release a franchisee from accrued liabilities or obligations. The agreement states that the expiration, earlier termination, or exercise of Dryject's rights does not discharge or release the franchisee from any liability or obligation then accrued. This also applies to any liability or obligation continuing beyond, or arising out of, the expiration, the earlier termination, or the exercise of such rights under the agreement.
This means that even after the franchise agreement ends, a franchisee may still be responsible for financial debts, contractual duties, or other obligations that were in place during the term of the agreement. These obligations could include unpaid royalties, outstanding invoices for goods or services, or responsibilities related to lease agreements or other contracts entered into during the franchise term.
Furthermore, the Dryject franchise agreement specifies that all rights and remedies of the parties are cumulative and not alternative. This means that Dryject's ability to pursue one remedy does not prevent them from pursuing other available remedies under the agreement, at law, or in equity. This ensures that Dryject retains maximum flexibility in addressing any breaches or defaults by the franchisee, even after the agreement has expired or been terminated.
It is important for prospective Dryject franchisees to understand that their financial and legal responsibilities may extend beyond the formal end date of the franchise agreement. They should carefully review the terms of the agreement and seek legal counsel to fully understand their obligations and potential liabilities, both during and after the franchise relationship.