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Does the Minnesota Addendum to the Cinnabon Franchise Agreement allow Cinnabon to require litigation to be conducted outside of Minnesota?

Q: Does the Minnesota Addendum to the Cinnabon Franchise Agreement allow Cinnabon to require litigation to be conducted outside of Minnesota?

- 7. Section 20 (Miscellaneous) of the Franchise Agreement will be supplemented by the addition of the following Sections, which will be considered an integral part of the Agreement: - 20.9 Minn. Stat. Sec 80C.21 and Minn. Rule 2860.4400J prohibit us from requiring litigation to be conducted outside Minnesota. Nothing in the Franchise Disclosure Document or this Agreement can abrogate or reduce any of your rights provided for in Minnesota Statutes, Chapter 80C, or your rights to any procedure, forum or remedies provided for by the laws of the jurisdiction. Source: Item 23 — Receipts (FDD pages 114–399)

Cinnabon Franchise · 2025 FDD

Answer from 2025 FDD Document

1. Section 20 (Miscellaneous) of the Franchise Agreement will be supplemented by the addition of the following Sections, which will be considered an integral part of the Agreement:
- 20.9 Minn. Stat. Sec 80C.21 and Minn. Rule 2860.4400J prohibit us from requiring litigation to be conducted outside Minnesota. Nothing in the Franchise Disclosure Document or this Agreement can abrogate or reduce any of your rights provided for in Minnesota Statutes, Chapter 80C, or your rights to any procedure, forum or remedies provided for by the laws of the jurisdiction.

Source: Item 23 — Receipts (FDD pages 114–399)

What This Means (2025 FDD)

According to Cinnabon's 2025 Franchise Disclosure Document, the Minnesota Addendum to the Franchise Agreement explicitly prohibits Cinnabon from requiring franchisees to conduct litigation outside of Minnesota. This protection is in place due to Minn. Stat. Sec 80C.21 and Minn. Rule 2860.4400J. This ensures that Minnesota franchisees are not forced to bear the additional costs and burdens of litigating disputes in a foreign jurisdiction.

This provision is designed to protect the rights of Cinnabon franchisees operating in Minnesota. It ensures that franchisees can pursue legal remedies within their home state, which can be particularly important for smaller business owners who may lack the resources to litigate in distant locations. The addendum also clarifies that nothing in the Franchise Disclosure Document or the Franchise Agreement can reduce any rights provided to the franchisee under Minnesota Statutes, Chapter 80C, or their rights to any procedure, forum, or remedies provided by Minnesota law.

For a prospective Cinnabon franchisee in Minnesota, this addendum offers a significant legal safeguard. It prevents Cinnabon from imposing unfavorable forum selection clauses that could disadvantage the franchisee in case of a dispute. This protection aligns with the broader intent of Minnesota's franchise laws, which aim to balance the power dynamic between franchisors and franchisees and ensure fair treatment for franchisees within the state.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.

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