Under what conditions is it unlawful for Dryject to repurchase a franchisee's business?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
-
- Certain Buy-Back Provisions. Provisions in franchise agreements or related agreements that permit the franchisor to repurchase the franchisee's business for any reason during the term of the franchise agreement without the franchisee's consent are unlawful pursuant to RCW 19.100.180(2)(j), unless the franchise is terminated for good cause.
Source: Item 8 — BUSINESS RELATIONSHIP (FDD pages 68–229)
What This Means (2025 FDD)
According to Dryject's 2025 Franchise Disclosure Document, specifically the Washington State Rider to the franchise agreement, it is unlawful for Dryject to repurchase a franchisee's business during the term of the franchise agreement without the franchisee's consent, unless the franchise is terminated for good cause. This is based on RCW 19.100.180(2)(j).
This provision protects Dryject franchisees in Washington from being forced to sell their business back to Dryject during the franchise term unless there is a legitimate reason for termination, such as a breach of contract by the franchisee. Without this protection, Dryject could potentially repurchase successful franchises for its own benefit, leaving the franchisee without their business and source of income.
It is important to note that this protection applies specifically in Washington State due to the state's franchise laws. Franchisees in other states may not have the same level of protection against franchisor repurchase. Prospective Dryject franchisees should carefully review the franchise agreement and any state-specific riders to understand their rights and obligations regarding repurchase.