Is City Publications allowed to require a franchisee in Minnesota to assent to a general release of claims?
City_Publications Franchise · 2025 FDDAnswer from 2025 FDD Document
- ◼ Item 17 does not provide for a prospective general release of claims against Franchisor which may be subject to the Minnesota Franchise Law. Minn. Rule 2860.4400D prohibits a franchisor from requiring a franchisee to assent to a general release.
Source: Item 23 — RECEIPT (FDD pages 39–129)
What This Means (2025 FDD)
According to City Publications' 2025 Franchise Disclosure Document, City Publications is prohibited from requiring a franchisee in Minnesota to assent to a general release of claims. Specifically, Item 17 of the disclosure document is amended for franchises governed by Minnesota law.
According to the FDD, Item 17 in the standard franchise agreement does not provide for a prospective general release of claims against City Publications. Minnesota Rule 2860.4400D explicitly prohibits City Publications, as a franchisor, from requiring a franchisee to agree to such a general release.
This protection ensures that Minnesota franchisees retain their rights to pursue claims against City Publications under the Minnesota Franchise Law. This amendment reflects Minnesota's specific franchise regulations, which aim to protect franchisees from potentially overreaching contractual requirements.