Under what conditions can the Bananas Smoothies Frozen Yogurt franchise agreement be amended or changed?
Bananas_Smoothies_Frozen_Yogurt Franchise · 2025 FDDAnswer from 2025 FDD Document
(b) understands that Franchisor may modify its current form of franchise agreement from time to time; however, any modifications during the term of this Agreement will not vary the amount of Franchise Fees or royalty fees to be paid by you;
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Paragraph 12.03 of the Franchise Agreement is amended by the inclusion of the following:
The franchisor will protect the franchisee's right to use the trademarks, service marks, trade names, logotypes or other commercial symbols or indemnify the franchisee from any loss, costs or expenses arising out of any claim, suit or demand regarding the use of the name.
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Paragraphs 19.02 and 19.03 of the Franchise Agreement is amended by the inclusion of the following:
- With respect to franchises governed by Minnesota law, the franchisor will comply with Minn.
Stat.
Sec. 80C, 14 Subds. 3, 4, and 5 which require, except in certain specified cases, that a franchisee be given ninety (90) days notice of termination (with sixty (60) days to cure) and one hundred eighty 180 days notice for non-renewal of the franchise agreement.
Paragraph 29.01 of the Franchise Agreement is amended by the inclusion of the following:
- Minn.
Stat. § 80C.21 and Minn.
Rule 2860.4400J prohibit us from requiring litigation to be conducted outside Minnesota.
Paragraph 29.03 of the Franchise Agreement is amended by the inclusion of the following:
- Under Minn.
Rule 2860.4400J, a franchisee cannot waive any rights, the franchisee cannot consent to the franchisor obtaining injunctive relief, although the franchisor may seek injunctive relief and a franchisee cannot be required to consent to waiver of a jury trial.
In addition, a court will determine if a bind is required.
- Item 17 (t) Summary Column is revised as follows:
Only the Disclosure Document, terms of the Franchise Agreement and executed amendments to the Franchise Agreement are binding (subject to state law). Any other agreements, whether oral or written, are not enforceable.
- Item 17(w) Summary Column is revised as follows:
Indiana's franchise laws will govern franchises granted to Indiana residents as well as franchises located within the State of Indiana.
Item 17 is revised as follows:
Pursuant to COMAR 02.02.08.16L, the general release required as a condition of purchase, renewal and/or assignment/transfer shall not apply to any liability under the Maryland Franchise Registration and Disclosure Law.
Source: Item 23 — RECEIPT (FDD pages 58–231)
What This Means (2025 FDD)
According to the 2025 Bananas Smoothies Frozen Yogurt FDD, the franchisor may modify its current form of franchise agreement from time to time. However, any modifications during the term of the Area Development Agreement will not vary the amount of Franchise Fees or royalty fees to be paid by the developer. This indicates that while the Bananas Smoothies Frozen Yogurt franchise agreement can be changed, certain financial aspects like franchise and royalty fees are protected during the agreement's term.
In the state of Minnesota, Paragraph 12.03 of the Franchise Agreement is amended to include that the franchisor will protect the franchisee's right to use the trademarks, service marks, trade names, logotypes or other commercial symbols or indemnify the franchisee from any loss, costs or expenses arising out of any claim, suit or demand regarding the use of the name. Paragraphs 19.02 and 19.03 of the Franchise Agreement is amended to include that with respect to franchises governed by Minnesota law, the franchisor will comply with Minn. Stat. Sec. 80C, 14 Subds. 3, 4, and 5 which require, except in certain specified cases, that a franchisee be given ninety (90) days notice of termination (with sixty (60) days to cure) and one hundred eighty 180 days notice for non-renewal of the franchise agreement. Paragraph 29.01 of the Franchise Agreement is amended to include that Minn. Stat. § 80C.21 and Minn. Rule 2860.4400J prohibit the franchisor from requiring litigation to be conducted outside Minnesota. Paragraph 29.03 of the Franchise Agreement is amended to include that under Minn. Rule 2860.4400J, a franchisee cannot waive any rights, the franchisee cannot consent to the franchisor obtaining injunctive relief, although the franchisor may seek injunctive relief and a franchisee cannot be required to consent to waiver of a jury trial. In addition, a court will determine if a bind is required.
In Indiana, Item 17(t) Summary Column is revised to state that only the Disclosure Document, terms of the Franchise Agreement and executed amendments to the Franchise Agreement are binding (subject to state law). Any other agreements, whether oral or written, are not enforceable. Item 17(w) Summary Column is revised to state that Indiana's franchise laws will govern franchises granted to Indiana residents as well as franchises located within the State of Indiana. In Maryland, Item 17 is revised to state that pursuant to COMAR 02.02.08.16L, the general release required as a condition of purchase, renewal and/or assignment/transfer shall not apply to any liability under the Maryland Franchise Registration and Disclosure Law.
Prospective Bananas Smoothies Frozen Yogurt franchisees should be aware that while the franchisor retains the right to modify the franchise agreement, these modifications are limited, especially concerning fees. Additionally, franchisees should be aware of state-specific amendments that could further protect their rights and govern the franchise agreement. It is important for potential franchisees to fully understand the implications of these modifications and how they may affect their investment and operation of a Bananas Smoothies Frozen Yogurt franchise.