factual

Is the Canine Dimensions Franchisor obligated to approve all transfer requests?

Canine_Dimensions Franchise · 2025 FDD

Answer from 2025 FDD Document

Despite anything to the contrary in the Franchise Agreement, the following provisions will supersede and apply to all franchises offered and sold in the State of Minnesota:

With respect to franchises governed by Minnesota law, we will comply with Minnesota Statute Section 80C.14, Subds. 3, 4 and 5, which require, except in certain specified cases, that you be given 90 days notice of termination (with 60 days to cure) and 180 days notice for non-renewal of the Agreement; and that consent to the transfer of the franchise will not be unreasonably withheld.

Source: Item 22 — CONTRACTS (FDD page 36)

What This Means (2025 FDD)

According to Canine Dimensions' 2025 Franchise Disclosure Document, the franchisor's obligation to approve transfer requests depends on the location of the franchise. Specifically, for franchises governed by Minnesota law, Canine Dimensions will comply with Minnesota Statute Section 80C.14, Subds. 3, 4 and 5, which require, except in certain specified cases, that you be given 90 days notice of termination (with 60 days to cure) and 180 days notice for non-renewal of the Agreement; and that consent to the transfer of the franchise will not be unreasonably withheld.

This means that if a Canine Dimensions franchise is located in Minnesota, the franchisor cannot unreasonably withhold consent to a transfer request. This provision aims to protect the franchisee's investment and ability to sell the business. However, this protection only applies to franchises operating under Minnesota law.

For franchises outside of Minnesota, the FDD does not explicitly state that Canine Dimensions is obligated to approve all transfer requests. The Franchise Agreement likely contains provisions outlining the conditions under which a transfer may be approved or denied, which would be standard practice in franchising. A prospective franchisee should carefully review the transfer provisions within the Franchise Agreement and seek clarification from Canine Dimensions regarding the specific criteria and procedures for transfer approval outside of Minnesota.

Disclaimer: This information is extracted from the 2025 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.