What does 'good cause' mean in the context of Alloy terminating a franchise?

Based on the 2025 Alloy Franchise Disclosure Document excerpts, the definition of 'good cause' for franchise termination is not explicitly provided. However, for franchisees in Minnesota, the FDD states that Minnesota law provides franchisees with certain termination and nonrenewal rights. Specifically, Minnesota Statute Section 80C.14, Subdivisions 3, 4, and 5, generally requires that a franchisee be given 90 days' notice of termination (with 60 days to cure) and 180 days' notice for nonrenewal of the franchise agreement, except in certain specified cases.

For prospective franchisees in California, the FDD mentions that California Business & Professions Code Sections 20000 through 20043 provide rights concerning termination, transfer, or nonrenewal of a franchise, and if the franchise agreement contains a provision inconsistent with the law, the law will control. Additionally, it notes that termination due to insolvency or bankruptcy may not be enforceable under federal law.

Given the lack of a universal definition of 'good cause' within the provided excerpts, it is important for potential franchisees to seek clarification from Alloy regarding what specific actions or circumstances would constitute 'good cause' for termination in their specific jurisdiction. They should also consult with a legal professional to understand their rights and obligations under the franchise agreement and applicable state laws.