In Minnesota, can a Bambu franchisee consent to the franchisor obtaining injunctive relief?
Bambu Franchise · 2025 FDDAnswer from 2025 FDD Document
- Section 23.4 is modified by the following language:
Pursuant to Minnesota Rule 2860.4400(J), a franchisee cannot consent to a franchisor obtaining injunctive relief. The franchisor may seek injunctive relief. Also, a court will determine if a bond is required.
Source: Item 23 — Receipts (FDD pages 52–209)
What This Means (2025 FDD)
According to Bambu's 2025 Franchise Disclosure Document, Minnesota Rule 2860.4400(J) prohibits a franchisee from consenting to Bambu obtaining injunctive relief. However, Bambu retains the right to seek injunctive relief in Minnesota. The court will determine if a bond is required in such cases.
This means that while a Bambu franchisee in Minnesota cannot agree in advance to allow Bambu to obtain an injunction against them, Bambu is still able to pursue injunctive relief through the courts. The court will decide whether a bond is necessary, providing an additional layer of protection for the franchisee.
This modification to the franchise agreement is specific to Minnesota, reflecting the state's franchise laws designed to protect franchisees. Prospective franchisees in Minnesota should be aware of this provision, as it alters the standard terms of the franchise agreement regarding injunctive relief.