In Minnesota, under what conditions can Chem Dry not unreasonably withhold consent to an assignment, transfer, or sale of the franchise?

According to Chem Dry's 2024 Franchise Disclosure Document, in the state of Minnesota, Chem Dry cannot unreasonably withhold consent to an assignment, transfer, or sale of the franchise if the person the franchise is being transferred to meets the qualifications and standards that Chem Dry requires of its other franchisees. This means that if a franchisee in Minnesota wants to sell their Chem Dry business, Chem Dry must approve the sale as long as the buyer is qualified.

This provision protects Minnesota Chem Dry franchisees from being unfairly prevented from selling their business to a qualified buyer. Without this protection, Chem Dry could potentially block a sale for arbitrary reasons, which would negatively impact the franchisee's ability to realize the value of their investment. This is a more franchisee-friendly condition than in some states, where franchisors have broader discretion over transfer approvals.

It is important for prospective Chem Dry franchisees in Minnesota to understand this protection, as it provides some assurance that they will be able to sell their business if they choose to do so, provided the buyer meets Chem Dry's standards. Franchisees should still carefully review the franchise agreement and any related documents to fully understand the transfer process and any other conditions that may apply.