factual

Under Minnesota law, can Bombs Away require a franchisee to consent to judgment notes?

Bombs_Away Franchise · 2024 FDD

Answer from 2024 FDD Document

[Item 22: CONTRACTS]

  • The franchisee cannot consent to the franchisor obtaining injunctive relief.

The franchisor may seek injunctive relief.

See Minn.

Rules 2860.4400J.

Also, a court will determine if a bond is required.

Source: Item 22 — CONTRACTS (FDD pages 35–36)

What This Means (2024 FDD)

According to Bombs Away's 2024 Franchise Disclosure Document, a franchisee in Minnesota cannot consent to the franchisor obtaining injunctive relief. The FDD references Minnesota Rules 2860.4400J regarding injunctive relief, and also states that a court will determine if a bond is required. This suggests that while Bombs Away may seek injunctive relief, the franchisee cannot pre-emptively consent to it, and a court will decide on the necessity of a bond.

This provision is included in the Minnesota Rider to the Franchise Agreement, indicating that Minnesota law places specific limitations on what a franchisee can agree to regarding legal remedies available to Bombs Away. This is designed to protect franchisees from potentially overreaching actions by the franchisor.

For a prospective Bombs Away franchisee in Minnesota, this means they cannot be compelled to sign an agreement that automatically allows Bombs Away to obtain an injunction against them. A court must review the situation and decide if such action is warranted and whether a bond is necessary. This provides an additional layer of protection for the franchisee under Minnesota law.

Disclaimer: This information is extracted from the 2024 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.