factual

In Minnesota, is Black Bear Diner prohibited from requiring a franchisee to waive a jury trial?

Black_Bear_Diner Franchise · 2025 FDD

Answer from 2025 FDD Document

Minnesota Statutes, Section 80C.21 and Minnesota Rule 2860.4400(J) prohibit the franchisor from requiring litigation to be conducted outside Minnesota, requiring waiver of jury trial, or requiring the franchisee to consent to liquidated damages, termination penalties or judgment notes.

In addition, nothing in the Franchise Disclosure Document or agreements can abrogate or reduce any of franchisee's rights as provided for in Minnesota Statutes, Chapter 80C, or franchisee's rights to any procedure, forum, or remedies provided for by the laws of the jurisdiction.

Source: Item 23 — RECEIPT (FDD pages 56–243)

What This Means (2025 FDD)

According to the 2025 Black Bear Diner Franchise Disclosure Document, Black Bear Diner is prohibited from requiring a franchisee to waive a jury trial in Minnesota. Minnesota Statutes, Section 80C.21 and Minnesota Rule 2860.4400(J) explicitly state that the franchisor cannot require a waiver of jury trial. This protection ensures that franchisees in Minnesota retain their right to a jury trial in disputes with Black Bear Diner.

This provision is further reinforced by the statement that nothing in the Franchise Disclosure Document or the agreements can reduce any of the franchisee's rights as provided by Minnesota Statutes, Chapter 80C. This means that Black Bear Diner cannot include clauses in their franchise agreement that would undermine the franchisee's legal rights under Minnesota law. The franchisee's right to any procedure, forum, or remedies provided by the laws of the jurisdiction is also protected.

This prohibition provides a significant benefit to prospective Black Bear Diner franchisees in Minnesota, as it ensures they have access to a fair legal process should a dispute arise with the franchisor. It aligns with the intent of Minnesota franchise law to protect franchisees and prevent franchisors from imposing unfair or overbearing terms.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.