factual

Who determines if a bond is required for injunctive relief sought by Crave Cookies in Minnesota?

Crave_Cookies Franchise · 2025 FDD

Answer from 2025 FDD Document

In the State of Minnesota only, this Disclosure Document is amended as follows:

  • The franchisee cannot consent to the franchisor obtaining injunctive relief. The franchisor may seek injunctive relief. See Minn. Rules 2860.4400J. Also, a court will determine if a bond is required.

Source: Item 23 — RECEIPTS (FDD pages 47–194)

What This Means (2025 FDD)

According to Crave Cookies' 2025 Franchise Disclosure Document, specifically the Minnesota Addendum, a court will determine if a bond is required if Crave Cookies seeks injunctive relief against a franchisee in Minnesota. This stipulation is in place because Minnesota law aims to protect franchisees' rights within the state.

This means that if Crave Cookies pursues legal action to stop a franchisee from acting in a certain way (injunctive relief), the court, not Crave Cookies, will decide whether the franchisee needs to provide a financial guarantee (a bond). The bond would cover any potential losses the franchisee might suffer if the injunction turns out to be unjustified.

For a prospective Crave Cookies franchisee in Minnesota, this is a beneficial provision. It ensures an impartial assessment of whether a bond is necessary, preventing Crave Cookies from unilaterally imposing this financial burden. This protection aligns with Minnesota's broader regulations designed to balance the power dynamic between franchisors and franchisees.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.