factual

In Virginia, what effect does a statement, questionnaire, or acknowledgment signed by a Dryject franchisee have on waiving claims under state franchise law?

Dryject Franchise · 2025 FDD

Answer from 2025 FDD Document

In recognition of the restrictions contained in Section 13.1-564 of the Virginia Retail Franchising Act, the Franchise Disclosure Document for DryJect Management, LLC for use in the Commonwealth of Virginia shall be amended as follows:

The Summary column of Item 17 Paragraph (h) of the Virginia Disclosure Document is modified by adding the following at the end of the sentence:

"Pursuant to Section 13.1.564 of the Virginia Franchising Act, it is unlawful for a franchisor to cancel a franchise agreement without reasonable cause. If any ground for default or termination stated in the franchise agreement does not constitute "reasonable cause" as that term may be defined in the Virginia Retail Franchising Act or laws of Virginia, that provision may not be enforceable."

No statement, questionnaire, or acknowledgment signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or other person acting on behalf of the franchisor. This provision supersedes any other term of any document executed in connection with the franchise.

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

What This Means (2025 FDD)

According to Dryject's 2025 Franchise Disclosure Document, a specific addendum addresses the enforceability of waivers under Virginia law. For franchisees in Virginia, any statement, questionnaire, or acknowledgment they sign when starting their franchise relationship cannot waive claims under Virginia franchise law. This includes claims related to fraud during the initial franchise offering.

This provision also ensures that franchisees cannot disclaim reliance on statements made by Dryject, its franchise sellers, or anyone acting on Dryject's behalf. This protection is significant because it prevents Dryject from using these documents to shield themselves from liability related to misrepresentations or other violations of franchise law.

This addendum explicitly overrides any conflicting terms in other documents signed in connection with the franchise agreement. This means that even if a document contains a clause that appears to waive a franchisee's rights, this clause will not be enforceable in Virginia to the extent that it conflicts with the protections afforded by the Virginia Retail Franchising Act.

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.