Can Closet Storage Concepts seek injunctive relief from a franchisee?

According to the 2025 Closet Storage Concepts Franchise Disclosure Document, the franchisor's ability to obtain injunctive relief from a franchisee is subject to specific state laws. In Minnesota, while the franchisee cannot consent to the franchisor obtaining injunctive relief, Closet Storage Concepts retains the right to seek such relief. However, the court will determine if a bond is required. This amendment to the franchise agreement applies to the extent that Minnesota law is applicable.

This means that if a Closet Storage Concepts franchise is located in Minnesota, the franchisee cannot waive their right to challenge an injunction. However, Closet Storage Concepts can still pursue injunctive relief through the courts. The court will then decide whether a bond is necessary, which could add to the franchisor's costs and potential liabilities.

For prospective franchisees, this highlights the importance of understanding state-specific addenda and how they modify the standard franchise agreement. It also demonstrates that certain legal rights cannot be waived, and judicial oversight is maintained in certain situations, such as the granting of injunctive relief. Franchisees should consult with legal counsel to understand the implications of these state-specific provisions.