Does Minnesota law allow a Cool Binz franchisee to waive their right to a jury trial?
Cool_Binz Franchise · 2025 FDDAnswer from 2025 FDD Document
, that (i) 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 (ii) consent to the transfer of the franchise will not be unreasonable 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 following is added to Section 15.K. of the Agreement:
Minn. Stat. 80C.17, Subd. 5 requires that no action may be commenced pursuant to this section more than three (3) years after the cause of action occurs.
Dispute Resolution Procedures/Governing Law. The following language is added to Sections 15.F and 15.H. of the Agreement:
PURSUANT TO MINN. STAT. 80C.21 AND MINN.
Source: Item 23 — RECEIPTS (FDD pages 63–238)
What This Means (2025 FDD)
According to Cool Binz's 2025 Franchise Disclosure Document, Minnesota law does not allow a franchisee to waive their right to a jury trial. Specifically, Minn. Rule 2860.4400J prohibits the waiver of a jury trial. This protection is in place to ensure that franchisees operating in Minnesota, or who are residents of Minnesota, retain their legal rights to a jury trial, regardless of what the standard franchise agreement might otherwise state. This provision is added to Section 15.I of the Franchise Agreement to ensure compliance with Minnesota law.
This means that even if the standard Cool Binz franchise agreement includes language suggesting that disputes must be resolved without a jury trial, this clause is unenforceable in Minnesota. The FDD explicitly states that nothing in the Franchise Disclosure Document or agreements can reduce any of the franchisee's rights as provided for in the Minnesota Franchise Act or their rights to any procedure, forum, or remedies provided by the laws of the jurisdiction. This ensures that Minnesota franchisees have the same access to legal recourse as any other business owner in the state.
For a prospective Cool Binz franchisee in Minnesota, this is a significant protection. It means that in the event of a dispute with Cool Binz, the franchisee has the right to have their case heard by a jury of their peers. This can be particularly important in cases where the franchisee believes that Cool Binz has acted unfairly or has violated the terms of the franchise agreement. This protection aligns with the broader intent of Minnesota franchise law, which aims to balance the power dynamic between franchisors and franchisees and prevent franchisors from imposing unfair or overly restrictive terms.