Regarding litigation involving Churchs Chicken franchises in Minnesota, what specific actions are Cajun Global LLC prohibited from requiring, according to Minnesota Statute 80C.21 and Minnesota Rule 2860.4400(J)?
Churchs_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
Minnesota Statute 80C.21 and Minnesota Rule 2860.4400(J) prohibit Cajun from requiring litigation to be conducted outside Minnesota, requiring waiver of a jury trial, or requiring Franchisee to consent to liquidated damages, termination penalties or judgment notes. In addition, nothing in the Franchise Disclosure Document or agreement(s) can abrogate or reduce (1) any of Franchisee's rights as provided for in Minnesota Statute 80C or (2) Franchisee's rights to any procedure, forum, or remedies provided for by the laws of the jurisdiction.
Source: Item 22 — CONTRACTS (FDD pages 67–68)
What This Means (2025 FDD)
According to Churchs Chicken's 2025 Franchise Disclosure Document, Minnesota Statute 80C.21 and Minnesota Rule 2860.4400(J) protect franchisees in Minnesota from certain litigation requirements. Specifically, Cajun Global LLC, the franchisor of Churchs Chicken, is prohibited from requiring franchisees to conduct litigation outside of Minnesota. This means a Minnesota franchisee cannot be forced to resolve disputes in another state's legal system.
Additionally, Churchs Chicken cannot require franchisees to waive their right to a jury trial in Minnesota. This ensures franchisees have the option to have their case decided by a jury of their peers, rather than solely by a judge. The statute also prevents Churchs Chicken from requiring franchisees to consent to liquidated damages, termination penalties, or judgment notes. These are specific types of financial penalties or agreements that could be detrimental to the franchisee.
Furthermore, the FDD states that nothing in the Franchise Disclosure Document or any agreements can reduce or eliminate any rights franchisees have under Minnesota Statute 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 protections afforded to them under state law, regardless of what the franchise agreement might otherwise suggest. This addendum provides additional protections to franchisees in Minnesota, ensuring they are not subject to unfair or restrictive litigation practices.