For franchises governed by Minnesota law, how much notice must All States M.E.D. give a franchisee before termination (excluding specified cases)?
All_States_M_E_D Franchise · 2024 FDDAnswer from 2024 FDD Document
With respect to franchises governed by Minnesota law, the franchisor will comply with Minn. Stat. Sec. 80C.14 Subds. 3, 4, and 5 which require (except in certain specified cases), that a franchisee be given 90 days' notice of termination (with 60 days to cure) and 180 days' notice for non-renewal of the franchise agreement and that consent to the transfer of the franchise will not be unreasonably withheld.
Source: Item 23 — RECEIPTS (FDD pages 44–174)
What This Means (2024 FDD)
According to All States M.E.D.'s 2024 Franchise Disclosure Document, Minnesota law requires that All States M.E.D. provide franchisees with specific notice periods before termination or non-renewal of the franchise agreement. For termination, excluding certain specified cases, All States M.E.D. must give a franchisee 90 days' notice. During this 90-day period, the franchisee has 60 days to cure any breach or deficiency that led to the termination notice.
Additionally, for non-renewal of the franchise agreement, Minnesota law mandates that All States M.E.D. provide the franchisee with 180 days' notice. This longer notice period for non-renewal allows the franchisee more time to prepare for the end of the franchise term, potentially including finding a buyer for the business or making other arrangements.
These regulations ensure that All States M.E.D. franchisees in Minnesota are afforded a reasonable opportunity to address any issues before termination and have adequate time to plan for the future in the event of non-renewal. Furthermore, consent to the transfer of the franchise will not be unreasonably withheld.