What notice of non-renewal is Black Bear Diner required to give to franchisees in Minnesota?
Black_Bear_Diner Franchise · 2025 FDDAnswer from 2025 FDD Document
you sign the Franchise Agreement and expires 10 years from the date you actually open your Franchised Restaurant ("Initial Term"), unless terminated earlier in accordance with its terms.
4.2 Renewal Term
Franchisee shall have the right to acquire a successor franchise at the expiration of the initial term for an additional term of ten (10) years ("Renewal Term"), provided the following conditions must have been fulfilled and remain true as of the last day of the Initial Term of this Agreement:
- (a) Franchisee has, during the entire term of this Agreement, substantially complied with all its provisions and is not in default at time of renewal;
- (b) Franchisee shall have the right to remain in possession of the Approved Location for the duration of the Renewal Term;
- (c) Franchisee shall make capital expenditures necessary to remodel, modernize and redecorate the Franchised Restaurant so that the Franchised Restaurant reflects the then-current physical appearance and image for a new Black Bear Diner restaurant;
- (d) Franchisee has given notice to Franchisor of its intent to renew not less than nine (9) months nor more than twelve (12) months prior to the end of the Initial Term;
- (e) Franchisee shall execute and deliver Franchisor's then-current form of franchise agreement to Franchisor. The new franchise agreement shall supersede this Agreement in all respects, and the terms of which may differ from the terms of this Agreement including, without limitation, a different percentage Royalty Fee and Marketing Fund Contribution; provided, however, Franchisee shall not be required to pay the then-current Franchise Fee;
- (f) Franchisee has complied with Franchisor's then-current training requirements for franchisees and their employees;
- (g) Franchisee pays a renewal fee of $5,000 at time of signing the then-current form of franchise agreement; and
- (g) Franchisee has executed a g
Source: Item 23 — RECEIPT (FDD pages 56–243)
What This Means (2025 FDD)
Based on the 2025 Black Bear Diner Franchise Disclosure Document, the document does not specify the amount of notice Black Bear Diner is required to give to franchisees in Minnesota in the event of non-renewal of the franchise agreement. The document does outline the conditions under which a franchisee can renew their agreement, stating that the franchisee must give notice to the franchisor of their intent to renew not less than nine months nor more than twelve months prior to the end of the initial term.
However, the FDD does not explicitly state the required notice Black Bear Diner must provide to a franchisee if they choose not to renew the franchise agreement. This information is crucial for a prospective franchisee to understand their rights and obligations upon the potential end of their franchise term.
A prospective franchisee should ask the franchisor about the specific requirements for non-renewal notice in Minnesota, as these can vary by state and may be governed by state franchise laws. Understanding these requirements is essential for making an informed decision about investing in a Black Bear Diner franchise.