factual

Does the general release language in the Auntie Annes Franchise Agreement relieve Auntie Annes from liability imposed by the Minnesota Franchises Law?

Auntie_Annes Franchise · 2024 FDD

Answer from 2024 FDD Document

Any general release language contained in the Franchise Agreement will not relieve us or any other person, directly or indirectly, from liability imposed by the Minnesota Franchises Law.

Section 16.3.I. (Control Transfer) of the Franchise Agreement is amended by adding the following punctuation and language at the end of this section, before the period: "; provided, however, this release will not apply to claims as you may have under the Minnesota Franchises Law and the Rules and Regulations promulgated thereunder by the Minnesota Commissioner of Commerce."

Source: Item 22 — CONTRACTS (FDD page 106)

What This Means (2024 FDD)

According to the 2024 Auntie Annes Franchise Disclosure Document, the general release language contained in the Franchise Agreement will not relieve Auntie Annes, or any other person or entity, directly or indirectly, from liability imposed by the Minnesota Franchises Law. This means that even if a franchisee signs a general release, Auntie Annes remains liable for any violations of Minnesota franchise law. This protection is specifically included as an amendment to the standard Franchise Agreement for franchises offered in Minnesota.

This provision ensures that franchisees in Minnesota retain their rights and protections under Minnesota state law, regardless of any general release they may sign. It prevents Auntie Annes from using the general release to circumvent the Minnesota Franchises Law. This addendum reflects Minnesota's specific requirements and protections for franchisees, ensuring that franchisees are not unknowingly waiving their rights under state law.

Furthermore, Section 16.3.I. (Control Transfer) of the Franchise Agreement is amended to specify that the release will not apply to claims franchisees may have under the Minnesota Franchises Law and the Rules and Regulations promulgated thereunder by the Minnesota Commissioner of Commerce. This reinforces the protection for franchisees in the context of control transfers, ensuring that their rights under Minnesota franchise law are preserved even when the franchise changes hands.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.