What Minnesota statutes and rules are recognized in the amendments to the Bang Cookies Franchise Agreement?
Bang_Cookies Franchise · 2024 FDDAnswer from 2024 FDD Document
In recognition of the requirements of the Minnesota Statutes, Chapter 80C. and Minnesota Franchise Rules, Chapter 2860, the parties to the attached Bang Cookies Franchise LLC Franchise Agreement (the "Franchise Agreement") and, if Franchisor and Franchisee both sign the Bang Cookies Franchise LLC Multi-Unit Development Agreement (the "Development Agreement"), as follows:
1.Article 14.C of the Franchise Agreement, under the heading "Conditions for Approval of Transfer," subarticle 14.C(6) is supplemented with the addition of the following language:
; provided, however, that all rights enjoyed by Franchisee and any causes of action arising in Franchisee's favor from the provisions of the Minnesota Franchise Act, Minn. Stat. Section 80C.14 et seq. and Minnesota Rules 2860.4400(D), shall remain in force; it being the intent of this provision that the non-waiver provisions of the Minnesota Rules 2860.4400(D) be satisfied; and
Minnesota law provides a franchisee with certain termination and non-renewal rights. Minn. Stat. Sect. 80C.14 Subdivisions 3, 4, and 5 require, except in certain specified cases, that franchisee be given 180 days-notice of nonrenewal of this Agreement by Franchisor.
- Article 15.B of the Franchise Agreement, under the heading "Conditions for Renewal," sub article 15.B(8) is supplemented with the addition of the following language:
; provided, however, that all rights enjoyed by Franchisee and any causes of action arising in Franchisee's favor from the provisions of the Minnesota Franchise Act, Minn. Stat. Section 80C.14 et seq. and Minnesota Rules 2860.4400(D), shall remain in force; it being the intent of this provision that the non-waiver provisions of the Minnesota Rules 2860.4400(D) be satisfied; and
Source: Item 23 — RECEIPTS (FDD pages 56–245)
What This Means (2024 FDD)
According to Bang Cookies' 2024 Franchise Disclosure Document, the amendments to the Bang Cookies Franchise Agreement recognize specific Minnesota statutes and rules. These include Minnesota Statutes Chapter 80C, which is the Minnesota Franchise Act, and Minnesota Franchise Rules, Chapter 2860. The amendments ensure that franchisees retain all rights and causes of action arising from the Minnesota Franchise Act, specifically referencing Minn. Stat. Section 80C.14 et seq. and Minnesota Rules 2860.4400(D).
Additionally, the amendments address termination and non-renewal rights as provided by Minnesota law, citing Minn. Stat. Sect. 80C.14 Subdivisions 3, 4, and 5, which generally require the franchisor to provide 180 days' notice of nonrenewal, except in certain specified cases. The amendments also ensure compliance with Minn. Stat. Sec. 80C.14, Subds. 3, 4, and 5, requiring 90 days' notice of termination (with 60 days to cure) and 180 days' notice of non-renewal of the Agreement.
Furthermore, the FDD states that Minnesota Statute 604.113 governs not sufficient funds and puts a cap of $30 on service charges. The Minnesota Franchise Act, Minn. Stat. Sec. 80C.12(g), requires Bang Cookies to reimburse franchisees for costs incurred in defending their right to use the marks, provided the marks were used as authorized, and Bang Cookies is notified and allowed to manage the defense. The document also states that Minn. Stat. §80C.21 and Minn. Rule 2860.4400J prohibit Bang Cookies from requiring litigation to be conducted outside Minnesota, ensuring franchisees' rights to procedures, forums, and remedies under Minnesota law are protected.