Under what conditions can a Dryject franchisee terminate the franchise agreement due to a material breach by the franchisor?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
- (a) If You are in compliance with this Agreement and We materially breach this Agreement and fail to cure such breach within thirty (30) days after written notice thereof is delivered to Us, then You may terminate this Agreement and the Franchised Business effective thirty (30) days after delivery to Us of notice of termination.
Notwithstanding the foregoing, if the breach is capable of being cured but is of a nature which cannot reasonably be cured within such thirty (30) day period, and We have commenced and are continuing to make good faith efforts to cure the breach, We shall be given an additional reasonable period of time to cure the breach, and this Agreement shall not terminate.
Any termination of this Agreement and the Franchised Business by You, without complying with the foregoing requirements, or for any reason other than a material breach of this Agreement by Us and Our failure to cure such material breach within the time allowed shall be deemed a termination by You without cause.
Source: Item 8 — BUSINESS RELATIONSHIP (FDD pages 68–229)
What This Means (2025 FDD)
According to Dryject's 2025 Franchise Disclosure Document, a franchisee can terminate the franchise agreement if Dryject materially breaches the agreement and fails to correct the breach within a specific timeframe. The franchisee must first provide written notice of the breach to Dryject. If the breach remains uncured after thirty days from the date Dryject receives the notice, the franchisee can then terminate the agreement by providing a notice of termination, which takes effect thirty days after Dryject receives it.
However, there is an exception to the 30-day cure period. If the breach is of such a nature that it cannot reasonably be cured within thirty days, and Dryject has started and continues to make good faith efforts to cure the breach, Dryject will be granted an additional reasonable period to complete the cure. In this case, the franchise agreement will not be terminated.
If a Dryject franchisee attempts to terminate the agreement without meeting these requirements, or for any reason other than a material breach by Dryject that remains uncured after the allowed time, it will be considered a termination by the franchisee without cause. This could have significant legal and financial repercussions for the franchisee, as they may be liable for damages to Dryject.