What specific Minnesota statutes regarding transfer apply to Boulder Designs franchises?
Boulder_Designs Franchise · 2025 FDDAnswer from 2025 FDD Document
The franchisee cannot consent to the franchisor obtaining injunctive relief. The franchisor may seek injunctive relief. See Minn. Rules 2860.4400J.
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- NSF checks are governed by Minnesota Statute 604.113, which puts a cap of $30 on service charges.
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- No statement, questionnaire, or acknowledgement signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including, fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or other person acting on behalf of the franchisor. This provision supersedes any other term of any document executed with the franchise.
Source: Item 22 — CONTRACTS (FDD page 50)
What This Means (2025 FDD)
According to Boulder Designs' 2025 Franchise Disclosure Document, the franchisee cannot consent to the franchisor obtaining injunctive relief, as stated in Minn. Rules 2860.4400J. This means that in legal matters within Minnesota, a franchisee cannot agree to prevent Boulder Designs from seeking a court order (injunctive relief).
Additionally, Minnesota Statute 604.113 governs NSF (non-sufficient funds) checks, which puts a cap of $30 on service charges. This statute directly affects how Boulder Designs handles bounced checks from franchisees in Minnesota, limiting the amount they can charge for related service fees to $30.
Furthermore, the FDD states that no statement, questionnaire, or acknowledgment signed by a franchisee in connection with starting the franchise can waive claims under any applicable state franchise law, including fraud in the inducement, or disclaim reliance on statements made by Boulder Designs or anyone acting on its behalf. This provision supersedes any other conflicting terms in any document executed with the franchise, protecting the franchisee's rights under Minnesota franchise law.