Can Crave Cookies require a franchisee to consent to judgment notes under Minnesota law?
Crave_Cookies Franchise · 2025 FDDAnswer from 2025 FDD Document
In the State of Minnesota only, this Disclosure Document is amended as follows:
- Minnesota Statutes, Section 80C.21 and Minnesota Rules 2860.4400(J) prohibit the franchisor from requiring litigation to be conducted outside Minnesota, requiring waiver of a jury trial, or requiring the franchisee to consent to liquidated damages, termination penalties or judgment notes. In addition, nothing in the Franchise Disclosure Document or agreement(s) can abrogate or reduce (1) any of the franchisee's rights as provided for in Minnesota Statutes, Chapter 80C or (2) franchisee's rights to any procedure, forum, or remedies provided for by the laws of the jurisdiction.
Source: Item 23 — RECEIPTS (FDD pages 47–194)
What This Means (2025 FDD)
According to Crave Cookies' 2025 Franchise Disclosure Document, if you are franchising in Minnesota, Crave Cookies is prohibited from requiring you to consent to judgment notes.
The Minnesota Addendum to the disclosure document explicitly states that Minnesota Statutes, Section 80C.21 and Minnesota Rules 2860.4400(J) prohibit Crave Cookies from requiring franchisees to consent to judgment notes. This means that Crave Cookies cannot include any clause in the franchise agreement that would force a franchisee to agree to a judgment against them without a full legal proceeding.
This protection is specific to Minnesota franchisees, as indicated by the addendum's title and content. Franchisees in other states may not have the same protection. This addendum also specifies other rights that Crave Cookies cannot abrogate or reduce for franchisees operating in Minnesota.