Does the Bombs Away Franchise Disclosure Document or agreement(s) abrogate or reduce any of the franchisee's rights as provided for in Minnesota Statutes, Chapter 80C?
Bombs_Away Franchise · 2024 FDDAnswer from 2024 FDD Document
In the State of Minnesota only, this Disclosure Document is amended as follows:
- Minnesota Statutes, Section 80C.21 and Minnesota Rules 2860.4400(J) prohibit the franchisor from requiring litigation to be conducted outside Minnesota, requiring waiver of a 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 agreement(s) can abrogate or reduce (1) any of the franchisee's rights as provided for in Minnesota Statutes, Chapter 80C or (2) franchisee's rights to any procedure, forum, or remedies provided for by the laws of the jurisdiction.
- With respect to franchises governed by Minnesota law, the franchisor will comply with Minnesota Statutes, Section 80C.14, Subd. 3-5, which require (except in certain specified cases) (1) that a franchisee be given 90 days' notice of termination (with 60 days to cure) and 180 days' notice for non-renewal of the franchise agreement and (2) that consent to the transfer of the franchise will not be unreasonably withheld.
Source: Item 23 — RECEIPTS (FDD pages 36–117)
What This Means (2024 FDD)
According to Bombs Away's 2024 Franchise Disclosure Document, the document includes a Minnesota Addendum that specifically addresses Minnesota Statutes, Chapter 80C. The addendum states that nothing in the Franchise Disclosure Document or associated agreements can diminish a franchisee's rights as provided by Minnesota Statutes, Chapter 80C. It also protects the franchisee's rights to any procedure, forum, or remedies available under Minnesota law. This indicates that Bombs Away intends to ensure its franchise agreements comply with Minnesota law and that franchisees in Minnesota retain all rights granted to them under Chapter 80C.
Furthermore, the addendum highlights Bombs Away's commitment to complying with specific sections of Minnesota Statutes, Section 80C.14, Subd. 3-5. These statutes mandate that Bombs Away provide franchisees with a 90-day notice of termination (including a 60-day cure period) and a 180-day notice for non-renewal of the franchise agreement, except in certain specified cases. The addendum also confirms that Bombs Away will not unreasonably withhold consent for the transfer of a franchise, aligning with Minnesota law.
In practical terms, this means that if you are considering opening a Bombs Away franchise in Minnesota, the franchise agreement cannot override or reduce the protections you are afforded under Minnesota franchise law. Bombs Away is also legally bound to provide adequate notice and opportunity to cure any issues before terminating or not renewing your franchise agreement, and they cannot arbitrarily deny a franchise transfer. This addendum offers additional security and assurance for prospective franchisees in Minnesota, ensuring their rights are upheld and protected under state law.