factual

What Minnesota statute governs the termination and nonrenewal notice requirements for Cream franchises?

Cream Franchise · 2025 FDD

Answer from 2025 FDD Document

However, with respect to franchises governed by Minnesota law, we will comply with Minn. Stat. Sec. 80C.14, Subds. 3, 4 and 5 which require, except in certain specified cases, that you be given 90 days' notice of termination (with 60 days to cure) and 180 days' notice of nonrenewal of this Agreement.

Source: Item 23 — RECEIPTS (FDD pages 61–192)

What This Means (2025 FDD)

According to the 2025 FDD, for Cream franchises operating in Minnesota, the termination and nonrenewal notice requirements are governed by Minn. Stat. Sec. 80C.14, Subds. 3, 4 and 5. This statute mandates that, except in specific situations, Cream must provide franchisees with a 90-day notice of termination, which includes a 60-day period to cure any breach of the agreement. Additionally, Cream is required to give a 180-day notice for nonrenewal of the Franchise Agreement and Area Development Agreement.

This means that if Cream decides to terminate a franchise agreement in Minnesota (outside of the specific exceptions detailed in the statute itself), they must give the franchisee at least 90 days' notice. Within that timeframe, the franchisee has 60 days to fix whatever issue led to the termination notice. For non-renewal, Cream must provide a longer notice period of 180 days, giving the franchisee more time to prepare for the end of the agreement.

It is important for prospective Cream franchisees in Minnesota to understand these protections, as they provide a degree of security and time to address any issues that could lead to termination or non-renewal. Franchisees should familiarize themselves with Minn. Stat. Sec. 80C.14, Subds. 3, 4 and 5 to fully understand their rights and obligations under Minnesota law.

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.