What Minnesota law is the Clear Pest Pros franchise agreement addendum designed to comply with?
Clear_Pest_Pros Franchise · 2025 FDDAnswer from 2025 FDD Document
Minnesota Rules 2860.4400(G) prohibits a franchisor from imposing on a franchisee by contract or rule, whether written or oral, any standard of conduct that is unreasonable.
Marks. The following language is added at the end of Section 4 of the Agreement:
Pursuant to Minnesota Stat. Sec. 80C.12, Subd. 1(g), we are required to protect any rights that you have to use our proprietary rights, including your right to use the trademarks, service marks, trade names, logotypes or other commercial symbols and indemnify the franchisee from any loss, costs, or expenses arising out of any claim, suite or demand regarding the use of the name.
Termination by Franchisor. The following language is added to Section 12.B of the Agreement:
With respect to franchises governed by Minnesota law, the franchisor will comply with Minn. Stat. Sec. 80C.14, Subds. 3, 4, and 5 which require, except in certain specified cases, that a franchisee be given 90 days' notice of termination (with 60 days to cure) and 180 days' notice of non-renewal of the franchise agreement and that consent to the transfer of the franchise will not be unreasonably withheld. The franchisor will comply with Minnesota law in this respect in its performance of the franchise agreement and any ancillary agreements.
Waiver of Punitive Damages and Jury Trial. The following is added to Section 15.I, of the Agreement:
Minn. Rule 2860.4400J. prohibits the waiver of a jury trial.
Limitations of Claims. The Limitations of Claims section must comply with Minnesota Stat. § 80C.17, subd. 5.
Source: Item 22 — CONTRACTS (FDD pages 67–68)
What This Means (2025 FDD)
According to Clear Pest Pros' 2025 Franchise Disclosure Document, the franchise agreement addendum for Minnesota franchises addresses compliance with several aspects of Minnesota law.
Specifically, Minnesota Rules 2860.4400(G) is addressed, which prohibits Clear Pest Pros from imposing unreasonable standards of conduct on franchisees through contract or rule. Additionally, pursuant to Minnesota Stat. Sec. 80C.12, Subd. 1(g), Clear Pest Pros is required to protect the franchisee's rights to use their proprietary rights, including trademarks, and indemnify the franchisee from losses arising from claims regarding the use of the name.
Furthermore, with respect to franchises governed by Minnesota law, Clear Pest Pros will comply with Minn. Stat. Sec. 80C.14, Subds. 3, 4, and 5, regarding notice of termination (90 days with 60 days to cure) and non-renewal (180 days), and that consent to the transfer of the franchise will not be unreasonably withheld. Minn. Rule 2860.4400J. prohibits the waiver of a jury trial. The Limitations of Claims section must comply with Minnesota Stat. § 80C.17, subd. 5.
These stipulations ensure that Clear Pest Pros franchisees operating in Minnesota receive certain protections and rights as mandated by Minnesota law, covering areas such as termination, intellectual property, and legal proceedings.