What Minnesota statute dictates the notice requirements for termination of a Clear Pest Pros franchise?
Clear_Pest_Pros Franchise · 2025 FDDAnswer from 2025 FDD Document
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.
Source: Item 22 — CONTRACTS (FDD pages 67–68)
What This Means (2025 FDD)
According to the 2025 FDD, for franchises governed by Minnesota law, Clear Pest Pros must comply with Minn. Stat. Sec. 80C.14, Subds. 3, 4, and 5 regarding termination and non-renewal. This statute generally requires Clear Pest Pros to provide a franchisee with 90 days' notice of termination, including 60 days to cure any issues, and 180 days' notice of non-renewal of the franchise agreement. Additionally, consent to the transfer of the franchise cannot be unreasonably withheld.
This means that if Clear Pest Pros intends to terminate a franchise in Minnesota (outside of specific cases allowing immediate termination), they must give the franchisee written notice well in advance, providing an opportunity to correct any deficiencies. The franchisee has a defined period to address the issues before termination becomes effective. Similarly, for non-renewal, a longer notice period is required, giving the franchisee more time to prepare for the end of the franchise term.
It is important for prospective Clear Pest Pros franchisees in Minnesota to understand these statutory protections, as they provide a degree of security and recourse in the event of potential termination or non-renewal. Franchisees should consult with legal counsel to fully understand their rights and obligations under Minnesota law and the franchise agreement.