In North Dakota, is a Casiola franchisee required to consent to termination or liquidation damages?

According to Casiola's 2024 Franchise Disclosure Document, franchisees in North Dakota are not required to consent to termination or liquidated damages. The North Dakota FDD Amendment supplements Item 6, "Other Fees," stating that no consent to termination or liquidated damages shall be required from franchisees in the State of North Dakota. This amendment reflects the application of the North Dakota Franchise Investment Law to the franchise agreement.

Furthermore, Item 17, "Renewal, Termination, Transfer and Dispute Resolution," is also supplemented by the addition of the following: Any provision requiring a franchisee to consent to termination or liquidation damages has been determined to be unfair, unjust and inequitable within the intent of Section 51-19-09 of the North Dakota Franchise Investment Law.

This means that Casiola franchisees operating in North Dakota benefit from specific protections under state law, ensuring that they cannot be compelled to agree to terms that might be considered unfair or inequitable regarding termination or liquidation damages. This provision offers a more favorable legal environment for franchisees within North Dakota compared to franchisees in other states where such consent might be required.