Does the Minnesota amendment to the Beehive Homes franchise agreement affect franchises located outside of Minnesota?
Beehive_Homes Franchise · 2025 FDDAnswer from 2025 FDD Document
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MINNESOTA AMENDMENT TO FRANCHISE AGREEMENT
Notwithstanding anything contained in the foregoing Franchise Agreement and Franchise Disclosure Document to the contrary, the following provisions of the Minnesota Department of Commerce shall apply to any franchise located in the State of Minnesota, which shall control to the extent of any inconsistency:
- a. NSF checks and related interest and attorney's' fees are governed by Minnesota Statute §604.113, which puts a cap of $30 on initial service charges and requires notice and opportunity to cure prior to assessing interest and attorneys' fees.
- b. Minnesota Rules 2860.4400(G) prohibits a franchisor from imposing on a franchisee by contract or rule, whether written or oral, any standard of conduct that is unreasonable.
- c. No statement, questionnaire, or acknowledgment signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including, fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or other person acting on behalf of the franchisor, this provision supersedes any other term of any document executed in connection with this franchise.
- d. Other Provisions Unaffected: All other terms and provisions contained in the Franchise Agreement shall remain in full force and effect, ex
Source: Item 23 — RECEIPTS (FDD pages 34–123)
What This Means (2025 FDD)
According to the 2025 Beehive Homes Franchise Disclosure Document, the Minnesota amendment to the franchise agreement applies specifically to franchises located in the State of Minnesota. The document states that the provisions outlined by the Minnesota Department of Commerce will be in effect for any Beehive Homes franchise operating within Minnesota.
This means that certain aspects of the standard Beehive Homes franchise agreement are modified to comply with Minnesota law. These modifications cover areas such as NSF check fees, standards of conduct imposed on franchisees, and waivers of claims under state franchise law.
For prospective Beehive Homes franchisees, this indicates that the franchise agreement can vary based on the state in which the franchise is located. If a franchisee is not operating in Minnesota, these specific amendments would not apply, and the standard terms of the franchise agreement would be in effect. Franchisees should carefully review any state-specific amendments to understand their rights and obligations fully.