factual

Does the Caring Transitions franchise agreement require litigation to be conducted outside of Minnesota?

Caring_Transitions Franchise · 2025 FDD

Answer from 2025 FDD Document

1. GOVERNING LAW, CHOICE OF FORUM, JURISDICTION AND VENUE

Minn. Stat. Sec. 80C.21 and Minn. Rule 2860.4400J prohibit CTFS from requiring litigation to be conducted outside Minnesota. In addition, nothing in the disclosure document or agreement can abrogate or reduce any of franchisee's rights as provided for in Minnesota Statutes, Chapter 80C, or franchisee's rights to any procedure, forum, or remedies provided for by the laws of the jurisdiction.

Source: Item 22 — CONTRACTS (FDD page 49)

What This Means (2025 FDD)

According to Caring Transitions's 2025 Franchise Disclosure Document, if a franchisee is operating in Minnesota, Caring Transitions is prohibited from requiring litigation to be conducted outside of Minnesota. Specifically, Minn. Stat. Sec. 80C.21 and Minn. Rule 2860.4400J explicitly state that Caring Transitions cannot mandate that litigation occur outside the state. This protection ensures that Minnesota franchisees have the right to pursue legal action within their own jurisdiction.

This provision is included in both the Minnesota Addendum to the Franchise Agreement and under the general Minnesota disclosures within Item 22 of the FDD, emphasizing its importance for franchisees operating in Minnesota. Furthermore, the FDD clarifies that nothing in the disclosure document or the franchise agreement can reduce any franchisee's rights as provided by Minnesota Statutes, Chapter 80C, or their rights to any procedure, forum, or remedies available under Minnesota law.

For a prospective Caring Transitions franchisee in Minnesota, this means that any legal disputes with the franchisor can be addressed within the state's legal system, providing a more accessible and potentially less costly venue for resolving conflicts. This protection aligns with the broader aim of the Minnesota Franchise Act to safeguard franchisees' rights and ensure fair practices within the franchise relationship. Franchisees should carefully review the Minnesota Addendum and related sections of the FDD to fully understand their rights and protections under Minnesota law.

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.