What must a Deck Medic franchisee demonstrate to the Franchisor to renew their franchise agreement?
Deck_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
the heading "Conditions for Approval of Transfer," subarticle 14.C.(6) is supplemented with the addition of the following language:
; provided, however, that all rights enjoyed by Franchisee and any causes of action arising in Franchisee's favor from the provisions of the Minnesota Franchise Act, Minn. Stat. Section 80C.14 et seq. and Minnesota Rules 2860.4400(D), shall remain in force; it being the intent of this provision that the non-waiver provisions of the Minnesota Rules 2860.4400(D) be satisfied; and
Minnesota law provides a franchisee with certain termination and non-renewal rights. Minn. Stat. Sect. 80C.14 Subdivisions 3, 4, and 5 require, except in certain specified cases, that franchisee be given 180 days-notice of nonrenewal of this Agreement by Franchisor.
- Article 15.B. of the Franchise Agreement, under the heading "Conditions for Renewal," the subarticle 15.B.(8) is supplemented with the addition of the following language:
; provided, however, that all rights enjoyed by Franchisee and any causes of action arising in Franchisee's favor from the provisions of the Minnesota Franchise Act, Minn. Stat. Section 80C.14 et seq. and Minnesota Rules 2860.4400(D), shall remain in force; it being the intent of this provision that the non-waiver provisions of the Minnesota Rules 2860.4400(D) be satisfied; and
Minnesota law provides a franchisee with certain termination and non-renewal rights. Minn. Stat. Sect. 80C.14 Subdivisions 3, 4, and 5 require, except in certain specified cases, that franchisee be given 180 days-notice of nonrenewal of this Agreement by Franchisor.
- Under Article 11 of the Franchise Agreement, under the heading "Notification of Infringement and Claims," the subarticle 11.C.
Source: Item 23 — RECEIPTS (FDD pages 43–228)
What This Means (2024 FDD)
According to Deck Medic's 2024 Franchise Disclosure Document, to renew a franchise agreement in Minnesota, the franchisee retains all rights and causes of action arising from the Minnesota Franchise Act. Minnesota law requires that Deck Medic provide the franchisee with 180 days' notice of nonrenewal, except in certain specified cases.
To renew the Deck Medic franchise agreement, the franchisee must agree to, sign, and deliver the then-current form of the Franchise Agreement for the Renewal Term to Deck Medic within 30 days of receiving it from the franchisor. The franchisee must also pay a Renewal Fee of $3,500. The Renewal Term is defined as a 10-year period that commences after the expiration of the original term.
It is important to note that the Renewal Term applies only if the franchisee is entitled to invoke and actually invokes their renewal rights according to the terms and conditions of the agreement. Franchisees should carefully review Article 15.B, referenced as the 'Renewal Notice,' and understand all conditions for renewal to ensure they meet all requirements and do not lose their renewal option.