What is the purpose of the Addendum to the Franchise Disclosure Document for the State of Minnesota for Circle K?
Circle_K Franchise · 2025 FDDAnswer from 2025 FDD Document
have the effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or other person acting on behalf of the franchisor. This provision supersedes any other term of any document executed in connection with the franchise.
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- In all other respects, the Franchise Agreement will be construed and enforced according to its terms.
Franchisor: TMC Franchise Corporation
ADDENDUM TO FRANCHISE DISCLOSURE DOCUMENT FOR THE STATE OF MINNESOTA
The following information applies to franchises and franchisees subject to Minnesota statutes and regulations:
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- Minnesota Statutes, Section 80C.21 and Minnesota Rules 2860.4400(J) prohibit the franchisor from requiring litigation to be conducted outside Minnesota, requiring waiver of a jury trial, or requiring the 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 the franchisee's rights as provided for in Minnesota Statutes, Chapter 80C or (2) franchisee's rights to any procedure, forum, or remedies provided for by the laws of the jurisdiction.
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- With respect to franchises governed by Minnesota law, the franchisor will comply with Minnesota Statutes, Section 80C.14, Subd. 3-5, which require (except in certain specified cases) (1) that a franchisee be given 90 days notice of termination (with 60 days to cure) and 180 days notice for non- renewal of the franchise agreement and (2) that consent to the transfer of the franchise will not be unreasonably withheld.
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- The franchisor will protect the franchisee's rights to use the trademarks, service marks, trade names, logotypes or other commercial symbols or indemnify the franchisee from any loss, costs or expenses arising out of any claim, suit or demand regarding the use of the name.
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- Minnesota considers it unfair to not protect the franchisee's right to use the trademarks. Refer to Minnesota Statues, Section 80C.12, Subd. 1(g).
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- Minnesota Rules 2860.4400(D) prohibits a franchisor f
Source: Item 22 — CONTRACTS (FDD page 100)
What This Means (2025 FDD)
According to Circle K's 2025 Franchise Disclosure Document, the Addendum to the Franchise Disclosure Document for the State of Minnesota is included to ensure compliance with Minnesota statutes and regulations. This addendum applies specifically to franchises and franchisees in Minnesota and modifies certain aspects of the standard franchise agreement to align with Minnesota law.
Specifically, the addendum addresses areas such as litigation, jury trial waivers, liquidated damages, and termination penalties, which Minnesota law prohibits Circle K from requiring. It also ensures that the franchisee's rights under Minnesota Statutes, Chapter 80C, are protected and that their rights to procedures, forums, or remedies provided by Minnesota law are upheld. The addendum also addresses non-renewal and termination notice requirements, as well as consent to transfer of the franchise.
Furthermore, the addendum clarifies that Circle K will protect the franchisee's right to use trademarks and will indemnify the franchisee from losses arising from claims related to the use of the Circle K name. It also sets a cap of $30 on service charges for NSF checks, as governed by Minnesota Statute 604.113. These provisions collectively aim to provide additional protection and clarity for Circle K franchisees operating in Minnesota, ensuring that the franchise agreement adheres to state-specific legal requirements.