factual

What does the Body20 Rider state regarding litigation being conducted outside of Minnesota?

Body20 Franchise · 2025 FDD

Answer from 2025 FDD Document

Minn. Stat. Sec. 80C.21 and Minn. Rule 2860.4400J might prohibit us from requiring litigation to be conducted outside Minnesota, requiring waiver of a jury trial or requiring you to consent to liquidated damages, termination penalties or judgment notes. In addition, nothing in the Franchise Disclosure Document, Development Agreement or Franchise Agreement can abrogate or reduce any of Developer's or Franchisee's rights as provided for in Minnesota Statutes 1984, Chapter 80C, or your rights to any procedure, forum or remedies provided for by the laws of the jurisdiction.

Source: Item 23 — RECEIPT (FDD pages 74–251)

What This Means (2025 FDD)

According to Body20's 2025 Franchise Disclosure Document, the Minnesota Rider addresses litigation outside of Minnesota. Specifically, Minnesota Statute Section 80C.21 and Minnesota Rule 2860.4400J may prevent Body20 from requiring franchisees to conduct litigation outside of Minnesota. The Rider also states that nothing in the Franchise Disclosure Document, Development Agreement, or Franchise Agreement can reduce any rights provided to the franchisee under Minnesota Statutes or any rights to procedures, forums, or remedies available under Minnesota law.

This provision is included to ensure that Body20 franchisees in Minnesota retain all the protections afforded to them under Minnesota state law. It prevents Body20 from enforcing terms in the franchise agreement that might compel a franchisee to litigate disputes in a less favorable venue or waive rights that are otherwise guaranteed by Minnesota law.

For a prospective Body20 franchisee in Minnesota, this is a beneficial clause. It means that the franchisee has the right to pursue legal action within Minnesota and is protected from being forced into unfavorable legal situations outside the state. This ensures that local laws and procedures will apply, potentially offering a more familiar and equitable legal environment.

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.