Does Minnesota law prohibit All Team from requiring litigation to be conducted outside of Minnesota?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
Notwithstanding anything contained in the foregoing Franchise Agreement and Franchise Disclosure Document ("FDD") to the contrary, the following provisions of the Minnesota Franchise Act shall apply to any franchise or franchisee located in the State of Minnesota, which shall control to the extent of any inconsistency:
MINN.
STAT.
SECTION 80C.21 and MINNESOTA RULES 2860.4400(J) prohibit the franchisor from requiring litigation to be conducted outside Minnesota, requiring waiver of a jury trial, or requiring the franchisee to consent to liquidated damages, termination penalties or judgment notes.
In addition, nothing in the Franchise Disclosure Document or agreement(s) can abrogate or reduce (1) any of the franchisee's rights as provided for in MINN.
STAT.
CHAPTER 80C or (2) franchisee's rights to any procedure, forum, or remedies provided for by the laws of the jurisdiction.
Source: Item 22 — CONTRACTS (FDD pages 33–34)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, Minnesota law does indeed protect franchisees in this regard. Specifically, for any All Team franchise operating within Minnesota, the Minnesota Franchise Act takes precedence over any conflicting terms in the standard franchise agreement or the FDD itself.
The FDD explicitly states that Minnesota Statutes Section 80C.21 and Minnesota Rules 2860.4400(J) prevent All Team from mandating that litigation involving Minnesota franchisees be conducted outside of the state. This means that All Team cannot force a franchisee in Minnesota to travel to another state, such as Florida where All Team's headquarters are located, to resolve legal disputes.
This protection extends further, as the FDD also notes that no clause within the document or any related agreements can diminish a franchisee's rights under Minnesota Statutes Chapter 80C or their access to the procedures, forums, or remedies provided by Minnesota law. This ensures that Minnesota franchisees retain all legal rights and protections afforded to them under state law, regardless of what the standard All Team franchise agreement might otherwise stipulate. This addendum provides additional security and recourse for franchisees operating in Minnesota.