exception

Does the prohibition against requiring a release from liability in Minnesota prevent the voluntary settlement of disputes with Crisp & Green?

Crisp_Green Franchise · 2024 FDD

Answer from 2024 FDD Document

    1. Franchisor shall not require Developer to assent to a release, assignment, novation or waiver that would relieve any person from liability imposed by Minnesota Statutes, Sections 80C.01 to 80C.22, provided that the foregoing shall not bar the voluntary settlement of disputes

Source: Item 23 — RECEIPTS (FDD pages 66–252)

What This Means (2024 FDD)

According to Crisp & Green's 2024 Franchise Disclosure Document, the prohibition against requiring a release from liability imposed by Minnesota Statutes does not prevent the voluntary settlement of disputes. The Minnesota Addendum to the Crisp & Green Area Development Agreement specifies that while Crisp & Green cannot require a developer to assent to a release that would relieve any person from liability imposed by Minnesota Statutes, Sections 80C.01 to 80C.22, this does not bar the voluntary settlement of disputes. This provision is applicable to franchisees who are residents of Minnesota or whose businesses will be located in Minnesota.

This means that while Crisp & Green cannot force a franchisee to sign a release that waives their rights under Minnesota franchise law, franchisees are still able to voluntarily settle disputes with Crisp & Green. This ensures that franchisees retain their statutory rights while also allowing for flexibility in resolving conflicts through mutual agreement.

Furthermore, the FDD states that any general release of claims that a franchisee may have against Crisp & Green or its owners, officers, managers, employees, and agents excludes claims arising under the Minnesota Franchise Act and its associated rules and regulations. This reinforces the protection of franchisees' rights under Minnesota law while still permitting voluntary settlements. This balance is typical in franchise agreements to comply with state franchise laws while allowing room for negotiated resolutions.

Disclaimer: This information is extracted from the 2024 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.