In Minnesota, what is Boulder Designs prohibited from requiring regarding releases, assignments, novations, or waivers that would relieve liability imposed by Minnesota Statute §§80C.01-80C.22?

According to Boulder Designs' 2025 Franchise Disclosure Document, Minnesota Rule 2860.4400D prohibits Boulder Designs from requiring a franchisee to agree to a release, assignment, novation, or waiver that would relieve any person from liability imposed by Minnesota Statute §§80C.01-80C.22. This rule is designed to protect franchisees in Minnesota from being forced to give up their legal rights under the state's franchise laws.

In practical terms, this means that Boulder Designs cannot include clauses in their franchise agreement that would force a franchisee to waive their right to sue or hold Boulder Designs accountable for violations of Minnesota's franchise regulations. This protection extends to releases, assignments, and novations, which are all ways a party might attempt to transfer or relinquish their legal obligations or rights. The prohibition ensures that franchisees retain the ability to seek legal recourse if Boulder Designs violates Minnesota Statutes §§80C.01-80C.22.

This type of provision is relatively common in franchise agreements to protect franchisees. Many states have franchise laws in place to govern the relationship between franchisors and franchisees, and these laws often include provisions that prevent franchisors from including unfair or overreaching terms in their agreements. Prospective Boulder Designs franchisees in Minnesota should carefully review the franchise agreement to ensure that it complies with this rule and does not contain any prohibited waivers or releases.