What kind of release is required from the franchisee and its owners for a Craters & Freighters franchise transfer?

According to the 2025 Craters & Freighters Franchise Disclosure Document, Minnesota franchisees cannot be required to assent to a general release. Specifically, Minnesota Rule 2860.4400(D) prohibits Craters & Freighters from requiring a franchisee to agree to a general release. Additionally, in Minnesota, no statement, questionnaire, or acknowledgement signed by the franchisee in connection with the commencement of the franchise relationship can waive any claims under any applicable state franchise law, including fraud in the inducement, or disclaim reliance on any statement made by Craters & Freighters. This provision supersedes any other term of any document executed in connection with the franchise.

This means that Craters & Freighters franchisees in Minnesota retain their rights to pursue legal claims, even after signing agreements or acknowledgements. This protection ensures that franchisees are not forced to give up their legal recourse against the franchisor, safeguarding them from potentially unfair practices or misrepresentations.

For a prospective Craters & Freighters franchisee in Minnesota, this information is crucial. It provides assurance that their legal rights are protected and cannot be waived through standard franchise agreements. This could be particularly important if the franchisee believes they were misled during the franchise sales process or if disputes arise during the franchise term. Franchisees should consult with a legal professional to fully understand their rights and obligations under Minnesota law.