What does Minnesota law require Cool Binz to do regarding the franchisee's right to use trademarks?

According to Cool Binz's 2025 Franchise Disclosure Document, Minnesota law requires Cool Binz to protect a franchisee's right to use the company's proprietary rights, including trademarks, service marks, trade names, logotypes, or other commercial symbols. Cool Binz must also indemnify the franchisee from any losses, costs, or expenses resulting from claims, suits, or demands related to the use of the Cool Binz name. This requirement is included to comply with Minnesota Statutes Sec. 80C.12, Subd. 1(g). This protection and indemnification apply to franchisees operating in Minnesota or who are residents of Minnesota.

This provision is beneficial for prospective Cool Binz franchisees in Minnesota, as it offers a legal safeguard for their use of the Cool Binz brand's intellectual property. It ensures that Cool Binz will bear the financial responsibility for any legal challenges arising from the franchisee's authorized use of the company's trademarks and other proprietary rights. This can significantly reduce the financial risk for franchisees, as trademark disputes can be costly to defend.

It is important for prospective franchisees to understand the scope of this indemnification. While it covers claims arising from the use of Cool Binz's trademarks, it may not cover claims arising from the franchisee's misuse or unauthorized use of those trademarks. Franchisees should also confirm that the Franchise Agreement clearly outlines the procedures for handling such claims and the extent of Cool Binz's responsibility for legal costs and damages.