What does Minn. Rule 2860.4400J prohibit Cream from requiring in the franchise agreement?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
Notwithstanding anything to the contrary contained in the Agreement, Minn. Stat. Sec. 80C.21 and Minn. Rule 2860.4400J prohibit us from requiring you to waive your rights to a jury trial or to waive your rights to any procedure, forum or remedies provided for by the laws of the jurisdiction, or to consent to liquidated damages, termination penalties or judgment notes.
Source: Item 23 — RECEIPTS (FDD pages 61–192)
What This Means (2025 FDD)
According to Cream's 2025 Franchise Disclosure Document, Minnesota Statute Sec. 80C.21 and Minn. Rule 2860.4400J prevent Cream from requiring franchisees to take certain actions. Specifically, Cream cannot force a franchisee to waive their right to a jury trial.
Additionally, Cream is prohibited from requiring franchisees to waive their rights to any procedure, specific forum, or particular remedies that are otherwise available under the laws of the jurisdiction. This ensures that franchisees retain access to the legal protections and avenues for dispute resolution provided by Minnesota law.
Furthermore, Cream cannot mandate that franchisees consent to liquidated damages, termination penalties, or judgment notes. These protections under Minnesota law are designed to ensure a fair balance of power and prevent franchisees from being subjected to potentially unfair or overly burdensome contractual terms.