Does the Better Blend franchise agreement require the franchisee to consent to a limitation of claims?

According to the 2024 Better Blend Franchise Disclosure Document, whether a franchisee is required to consent to a limitation of claims depends on the state where the franchise is located. Specifically, the standard Better Blend franchise agreement may contain clauses that limit the time a franchisee has to bring a claim against the franchisor. However, certain states like North Dakota do not allow franchisees to be required to consent to such limitations.

For instance, the North Dakota Rider to the franchise agreement explicitly states that "Franchisee is not required to consent to a limitation of claims. The statute of limitations under North Dakota law applies." This means that if a Better Blend franchise is located in North Dakota, the standard limitation of claims provision in the franchise agreement is superseded by North Dakota's statute of limitations, providing franchisees with the full protection of state law regarding the time to bring a claim.

Conversely, the Minnesota Rider amends the franchise agreement to state that "No action may be commenced pursuant to Minnesota Statutes, Section 80C.17 more than three years after the cause of action accrues." This indicates that in Minnesota, the franchisee is subject to a three-year statute of limitations for claims arising under Minnesota Statutes, Section 80C.17. Therefore, prospective Better Blend franchisees should carefully review the rider specific to their state to understand whether they are required to consent to a limitation of claims and how it impacts their rights.