What is a Bananas Smoothies Frozen Yogurt Developer prohibited from permitting to occur against their assets?
Bananas_Smoothies_Frozen_Yogurt Franchise · 2025 FDDAnswer from 2025 FDD Document
Under Minn. Rule 2860.4400J, (1) a franchisee cannot waive any rights, (2) the franchisee cannot consent to the franchisor obtaining injunctive relief, although the franchisor may seek injunctive relief, and (3) a franchisee cannot be required to consent to waiver of a jury trial. In addition, a court will determine whether a bond is required.
Source: Item 23 — RECEIPT (FDD pages 58–231)
What This Means (2025 FDD)
According to the 2025 Bananas Smoothies Frozen Yogurt FDD, under Minn. Rule 2860.4400J, a franchisee cannot consent to the franchisor obtaining injunctive relief. However, the franchisor may seek injunctive relief. This rule is specific to franchises operating in Minnesota.
This means that while Bananas Smoothies Frozen Yogurt can pursue injunctive relief against a franchisee, the franchisee cannot be compelled to agree to it in advance. Injunctive relief typically involves a court order that requires a party to do or cease doing a specific action. This protection ensures that franchisees in Minnesota retain their rights to contest such actions in court.
This provision is designed to protect franchisees from overreaching by the franchisor. It ensures that the franchisee's rights are upheld and that they have the ability to defend themselves in court if Bananas Smoothies Frozen Yogurt seeks injunctive relief. Additionally, a court will determine whether a bond is required.