For Churchs Chicken franchisees in Minnesota, can the Developer consent to Cajun obtaining injunctive relief?
Churchs_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
_____________________________ By: Name: Title:
Date:
Exhibit O-3
ADDENDUM TO THE CHURCH'S TEXAS CHICKEN DEVELOPMENT AGREEMENT REQUIRED FOR MINNESOTA FRANCHISEES
| This | Addendum to the Church's Texas Chicken Development Agreement dated | |
|---|---|---|
| ("Development | ||
| Agreement") | ||
| between | ||
| CAJUN | ||
| GLOBAL | ||
| LLC, | ||
| d/b/a | ||
| Church's | ||
| Texas Chicken | a | |
| Delaware | ||
| limited | ||
| liability | ||
| company | ||
| ("Cajun"), | ||
| and | ||
| , | ||
| a | ||
| formed | ||
| in | ||
| ("Developer") | ||
| is | ||
| entered | ||
| into | ||
| simultaneously | ||
| with | ||
| the | ||
| execution | of | Development |
| the | Agreement. | |
| 1. | The | |
| following | ||
| is | ||
| added | ||
| to | ||
| the | ||
| end | ||
| of | ||
| Sections | ||
| 14.B | ||
| and | ||
| 23.F: | ||
| Developer | ||
| cannot | ||
| consent | ||
| to | ||
| Cajun | ||
| obtaining | ||
| injunctive | ||
| relief. | ||
| Cajun | ||
| may | ||
| seek | ||
| injunctive | ||
| relief. | ||
| See | ||
| Minnesota | ||
| Rule | ||
| 2860.4400(J). | ||
| Also, | ||
| a | ||
| court | ||
| will | ||
| determine | ||
| if | ||
| a | ||
| bond | ||
| is | ||
| required. | ||
| 2. |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER AND DISPUTE RESOLUTION (FDD pages 50–55)
What This Means (2025 FDD)
According to the 2025 Churchs Chicken Franchise Disclosure Document, Minnesota franchisees (referred to as 'Developer' in the document) cannot consent to Cajun Global LLC (referred to as 'Cajun') obtaining injunctive relief. However, Cajun may seek injunctive relief. This is in accordance with Minnesota Rule 2860.4400(J). Additionally, the document specifies that a court will determine if a bond is required in such cases.
This provision is included in an addendum specific to Minnesota franchisees, indicating that Minnesota law provides certain protections to franchisees that may differ from other states. The addendum modifies the standard Development Agreement to comply with Minnesota statutes and rules, ensuring that franchisees' rights are upheld within the state.
For a prospective Churchs Chicken franchisee in Minnesota, this means that they cannot be compelled to agree in advance to allow the franchisor to obtain an injunction against them. This protects the franchisee from potentially unfair or overreaching actions by the franchisor. The requirement for a court to determine the necessity of a bond further safeguards the franchisee's interests, ensuring that the franchisor has sufficient financial backing to cover any potential damages resulting from the injunction if it is later found to be unwarranted.