How many days does an Alloy franchisee have to cure the non-payment of amounts due and owing?
Alloy Franchise · 2025 FDDAnswer from 2025 FDD Document
-
- Minnesota law provides franchisees with certain termination and nonrenewal rights. As of the date of this Franchise Agreement, Minn. Stat. Sec. 80C.14, Subd. 3, 4 and 5 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 nonrenewal of the franchise agreement.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 51–56)
What This Means (2025 FDD)
According to Alloy's 2025 Franchise Disclosure Document, Minnesota franchisees have specific rights regarding termination. Minnesota law stipulates that, except in certain cases, Alloy must provide a franchisee with 90 days' notice of termination, which includes 60 days to cure the issue. This addendum modifies the franchise agreement to comply with Minnesota law.
This means that if an Alloy franchisee in Minnesota fails to pay amounts due, they are entitled to a 90-day notice of termination, with a 60-day period to correct the non-payment. This Minnesota-specific clause supersedes any conflicting terms in the standard franchise agreement, providing additional protection to franchisees operating in that state.
It is important to note that these cure rights apply specifically to franchisees in Minnesota due to state regulations. Franchisees in other states may have different cure periods as defined in the standard Alloy franchise agreement. Prospective franchisees should carefully review their franchise agreement and any state-specific addenda to understand their rights and obligations regarding termination and cure periods.