In Minnesota, who determines if a bond is required when 360 Painting seeks injunctive relief?
360_Painting Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee cannot consent to the franchisor obtaining injunctive relief. The franchisor may seek injunctive relief. A court will determine if a bond is required.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 42–46)
What This Means (2025 FDD)
According to the 2025 360 Painting Franchise Disclosure Document, in Minnesota, a court will determine if a bond is required if 360 Painting seeks injunctive relief. This is outlined in the addendum to the franchise disclosure document for Minnesota franchisees.
For a prospective franchisee, this means they cannot consent to 360 Painting obtaining injunctive relief. However, 360 Painting retains the right to pursue such relief. The decision of whether a bond is necessary in such cases rests solely with the court.
This clause protects the franchisee by ensuring an impartial judicial review of the need for a bond, preventing 360 Painting from unilaterally imposing this requirement. It aligns with Minnesota state law, which aims to protect franchisees' rights and ensure fair practices within the franchise relationship.