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Does the City Publications franchise agreement supersede any part of the Minnesota Franchise Law?

City_Publications Franchise · 2025 FDD

Answer from 2025 FDD Document

curities Commissioner has required a financial assurance. Therefore, all initial fees and payments owed by franchisees shall be deferred until we complete our pre-opening obligations under the franchise agreement. IN WITNESS WHEREOF, each of the undersigned hereby acknowledges having read this Amendment, and understands and consents to be bound by all of its terms. CITY PUBLICATIONS FRANCHISE GROUP, INC.:

FOR THE STATE OF MINNESOTA

PUBLICATIONS FRANCHISE GROUP, INC. and to a solution of the Minnesota Franchise Law, Minn. Stat 80C.22, and the Rules and Regulations promulgated pursuant thereto by the Minnesota Rule 2860.4400, et. seq., the parties to the attached Franchise Agreement shall be ame franchises governed by Minnesota Law, the Franchisor versual Franchise Law which requires, except in certain specified can days notice of termination (with 60 days to cure) and 180 days notice of termination (with Franchise Agreement do not sections 5B.10 and 20B.2 of the Franchise Agreement do not sections 5B.10 and 20B.2 of the Franchise Agreement do not sections 5B.10 and 20B.2 of the Franchise Agreement do not sections 5B.10 and 20B.2 of the Franchise Agreement do not sections 5B.10 and 20B.2 of the Franchise Agreement do not sections 5B.10 and 20B.2 of the Franchise Agreement do not sections 5B.10 and 20B.2 of the Franchise Agreement do not sections 5B.10 and 20B.2 of the Franchise Agreement do not sections 5B.10 and 20B.2 of the Franchise Agreement do not section the section of the first three days are sections 5B.10 and 20B.2 of the Franchise Agreement do not section the first three days are sections 5B.10 and 20B.2 of the Franchise Agreement do not section three days are sections 5B.10 and 20B.2 of the Franchise Agreement do not section three days are sections as a section three days are sections as a section three days are sections as a section three days are sections as a section three days are sections as a section three days are sections as a section three days are sections as a section three days are section to the section three days are section to the section three days are section to the section three days are section three days are section to the section three days are section to the section three days are section to the section three days are section to the section three days are section to the section three days are section to the section three days are section to the section three days are section to the section three days are se t., Chapter 80C, Sections 80C.01 through the Minnesota Commission of Securities, ment agree as follows: \nended to add that with respect to will comply with the Minnesota ses, that a Franchisee be given 90 days notice of non-renewal of the the provide for a prospective general to the Minnesota Franchise Law.
  • 80C.22, and the Rules and Regulations promulgated pursuant thereto by the Minnesota Rule 2860.4400, et. seq., the parties to the attached Franchise Agreement shall be amended franchises governed by Minnesota Law, the Franchise repractise Law which requires, except in certain specified can days notice of termination (with 60 days to cure) and 180 days regreement.
  • Sections 5B.10 and 20B.2 of the Franchise Agreement do not
ne Minnesota Commission of Securities, ment agree as follows: \nended to add that with respect to will comply with the Minnesota ses, that a Franchisee be given 90 lays notice of non-renewal of the trovide for a prospective general to the Minnesota Franchise Law.
franchises governed by Minnesota Law, the Franchisor version of Franchise Law which requires, except in certain specified can days notice of termination (with 60 days to cure) and 180 days regreement. Sections 5B.10 and 20B.2 of the Franchise Agreement do not will comply with the Minnesota ses, that a Franchisee be given 90 lays notice of non-renewal of the provide for a prospective general to the Minnesota Franchise Law. to the Minnesota Franchise Law.
release of claims against Franchisor which may be subject Minn. Rule 2860.4400D prohibits a franchisor from requiring release. , a franchisee to assent to a general
Section 7 of the Franchise Agreement shall be amended to a Franchise Law, Franchisor will reimburse Franchisee for an the defense of Franchisee's right to use the Marks, so long as in the manner authorized by Franchisor, and so long as Franch and is given the right to manage the defense of the claim in settle or otherwise resolve the claim, and to determine wheth of the claim. y costs incurred by Franchisee in s Franchisee was using the Marks hisor is timely notified of the claim acluding the right to compromise,
■ Section 19E of the Franchise Agreement shall be deleted in it ts entirety.
Section 24D of the Franchise Agreement shall be amended the Franchised Business or this Agreement or any related agarbitration or an action for a claim that cannot be the subject of three (3) years from the date on which Franchisee or Franchin the exercise of reasonable diligence, of the facts giving rise greement will be barred unless an of arbitration is commenced within isor knew or should have known,
■ Section 24E shall be deleted in its entirety.
■ Section 24F shall be deleted in its entirety.
Minn. Stat. §80C.21 and Minn. Rule 2860.4400J prohibit Fr the Offering Circular or Franchise hts as provided for in Minnesota
to be conducted outside Minnesota. In addition, nothing in t
Agreement can abrogate or reduce any of Franchisee's right
Statutes, Chapter 80C, or Franchisee's rights to any procedure
by the laws of the jurisdiction.
2. Each provision of this Amendment shall be effective only to the Minnesota Franchise Law applicable to the provisions are met independe addendum shall be deemed to be inconsistent with any terms or conditions of attachments thereto, the terms of this addendum shall govern. ent of this Amendment. To the extent this
IN WITNESS WHEREOF, each of the undersigned hereby acknowledges havi and consents to be bound by all of its terms. ing read this Amendment and understands
CITY PUBLICATIONS FRANCHISE GROUP, INC.: Franchisee:
By: By:
Title: Title:

FOR THE STATE OF NEW YORK

This Amendment to the Franchise Agreement is agreed to this day of, 20, between CITY
PUBLICATIONS FRANCHISE GROUP, INC.

Source: Item 23 — RECEIPT (FDD pages 39–129)

What This Means (2025 FDD)

According to City Publications' 2025 Franchise Disclosure Document, the franchise agreement is subject to certain amendments to comply with Minnesota franchise law. Specifically, the addendum addresses Minn. Stat 80C.22, Minnesota Rule 2860.4400, and related regulations. These amendments ensure that City Publications complies with Minnesota law, particularly concerning termination and non-renewal notices.

The FDD states that City Publications will adhere to Minnesota law, providing franchisees with a 90-day notice of non-renewal, which exceeds the minimum requirements of the Minnesota Franchise Law in certain cases. Additionally, the standard franchise agreement sections 5B.10 and 20B.2, which typically include general release clauses, will not apply to claims that fall under the Minnesota Franchise Law, as Minn. Rule 2860.4400D prohibits franchisors from requiring such releases.

Furthermore, the franchise agreement is amended to ensure that City Publications will cover costs for franchisees in defending their right to use the City Publications marks, provided the franchisee operates within the franchisor's guidelines and allows the franchisor to manage the legal defense. Section 19E, related to liquidated damages, is entirely deleted in Minnesota. The document also clarifies that any claims related to the franchise must be initiated within three years from when the franchisee knew or should have known about the facts giving rise to the claim.

Finally, the FDD explicitly states that nothing in the franchise agreement can override or diminish a franchisee's rights under Minnesota Statutes, Chapter 80C, or their right to any procedures guaranteed by the laws of the jurisdiction. This ensures that the franchisee's rights under Minnesota law are fully protected.

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.