Under Minnesota rules, can a franchisee consent to All Team obtaining injunctive relief?
All_Team Franchise · 2025 FDDAnswer from 2025 FDD Document
The franchisee cannot consent to the franchisor obtaining injunctive relief.
The franchisor may seek injunctive relief.
See MINNESOTA RULES 2860.4400(J) also, a court will determine if a bond is required.
Source: Item 23 — RECEIPT (FDD pages 34–161)
What This Means (2025 FDD)
According to All Team's 2025 Franchise Disclosure Document, Minnesota Rules prohibit a franchisee from consenting to All Team obtaining injunctive relief. However, All Team retains the right to seek injunctive relief. This means that while All Team can pursue injunctive relief against a franchisee in court, the franchisee cannot be compelled to agree in advance that All Team is entitled to such relief. This protects the franchisee from being forced to waive their rights to challenge All Team's request for an injunction.
This provision is part of the Minnesota State Law Addendum to the franchise agreement, which takes precedence over any conflicting terms in the standard agreement. This addendum ensures that franchisees operating in Minnesota receive the full protection of Minnesota franchise law. The FDD also notes that the court will determine if a bond is required for injunctive relief, which is a standard legal practice to protect the franchisee in case the injunction is later found to be unwarranted.
For a prospective All Team franchisee in Minnesota, this means that they cannot be forced to sign away their right to contest an injunction sought by All Team. This is a significant protection, as injunctive relief can have serious consequences for a business. It is important for franchisees to understand their rights under state law and to consult with an attorney if they have any questions about the franchise agreement or their legal options.