What is the maximum bond amount Buona needs to post to obtain injunctive relief?
Buona Franchise · 2025 FDDAnswer from 2025 FDD Document
h waive their rights to a trial by jury.
- 24.6 Cumulative Remedies. No right or remedy herein conferred upon or reserved to Franchisor is exclusive of any other right or remedy herein, or by law or equity provided or permitted; but each shall be cumulative of any other right or remedy provided in this Agreement.
- 24.7 Injunctive Relief. Notwithstanding the above arbitration provisions, Franchisor and Franchisee will each have the right in a proper case to seek injunctive relief and any damages incidental thereto from a court of competent jurisdiction. Franchisee agrees that Franchisor may obtain this injunctive relief, without posting a bond or bonds in excess of a total of One Thousand Dollars ($1,000.00), but upon due notice, and Franchisee's sole remedy in the event of the entry of any injunctive relief will be the dissolution of the injunctive relief, if warranted, u
Source: Item 22 — CONTRACTS (FDD page 78)
What This Means (2025 FDD)
According to Buona's 2025 Franchise Disclosure Document, Buona as the franchisor, may seek injunctive relief against a franchisee (or developer) in certain situations. Generally, Buona can seek this relief without needing to post a bond. However, this is not the case in Minnesota.
Specifically, the Franchise Agreement states that Buona can obtain injunctive relief without posting a bond exceeding $1,000. This applies when seeking injunctive relief from a court of competent jurisdiction. The franchisee's sole remedy if an injunction is issued is to seek its dissolution if warranted. The franchisee also waives any claims for damages resulting from a wrongful injunction.
However, for franchisees in Minnesota, Section 24.7 of the Franchise Agreement regarding Specific Performance and Injunctive Relief is amended. In Minnesota, the court will determine if a bond will be posted, meaning the $1,000 cap does not apply.