Under Minnesota Statutes, what is Carls Jr. prohibited from requiring regarding litigation?

According to the 2025 Carls Jr. Franchise Disclosure Document, Minnesota Statutes Section 80C.21 and Minnesota Rule 2860.4400J prohibit Carls Jr. from requiring that litigation be conducted outside of Minnesota. This means that if a Carls Jr. franchisee in Minnesota has a legal dispute with the company that leads to litigation, the franchisee cannot be forced to litigate the matter in a state other than Minnesota. This provision protects the franchisee's access to local courts and legal representation.

Furthermore, the disclosure states that nothing in the franchise disclosure document or related agreements can diminish any of the franchisee's rights as provided for in Minnesota Statutes, Chapter 80C. It also protects the franchisee's rights to any procedure, forum, or remedies provided by Minnesota law. This ensures that Minnesota franchisees retain all legal rights and protections afforded to them under state law, regardless of what the franchise agreement might otherwise stipulate.

This protection is significant for prospective Carls Jr. franchisees in Minnesota because it ensures that they will not be at a disadvantage in legal disputes with the company due to geographical constraints or limitations imposed by the franchise agreement. Franchisees should consult with a legal professional to fully understand their rights and protections under Minnesota law.