factual

What termination rights does Minnesota law provide to a Deer Solution franchisee, as referenced in the amendment to subarticles 16.A.(2) and 16.A.(4)?

Deer_Solution Franchise · 2025 FDD

Answer from 2025 FDD Document

  1. Under Article 11 of the Franchise Agreement, under the heading "Notification of Infringement and Claims," the subarticle 11.C. shall be supplemented by the addition of the following:

Franchisor agrees to protect Franchisee, to the extent required by the Minnesota Franchise Act, against claims of infringement or unfair competition with respect to Franchisee's use of the Marks when, in the opinion of Franchisor's counsel, Franchisee's rights warrant protection pursuant to Article 11.E. of this Agreement.

  1. Under Article 14 of the Franchise Agreement, under the heading "Conditions for Approval of Transfer," the subarticle 14.C. shall be supplemented by the addition of the following:

Franchisor shall not unreasonably withhold consent to transfer the Franchise Agreement.

  1. Under Article 16 of the Franchise Agreement, under the heading "Defaults and Automatic Termination Upon Written Notice Without Cure Period," the subarticle 16.A.(2). shall be supplemented by the addition of the following:

Article 16.A.(2) will not be enforced to the extent prohibited by applicable law.

  1. Under Article 16 of the Franchise Agreement, under the heading "Defaults and Automatic Termination After 30 Day Cure Period," the subarticle 16.A.(4)(f), shall be supplemented by the addition of the following:
  • Subarticle 16.A.(4)(f) will not be enforced to the extent prohibited by applicable law.

Under both subarticles 16.A.(2) and 16.A.(4) of the Franchise Agreement, the following is added:

  • Minnesota law provides a franchisee with certain termination rights.

Minn.

Stat.

Sect. 80C.14 Subdivisions 3, 4, and 5 require, except in certain specified cases, that franchisee be given 90 daysnotice of termination (with 60 days to cure) of this Agreement.

Source: Item 23 — RECEIPTS (FDD pages 55–246)

What This Means (2025 FDD)

According to the 2025 Deer Solution Franchise Disclosure Document, Minnesota law affects the termination rights of franchisees. Specifically, for subarticles 16.A.(2) and 16.A.(4) of the franchise agreement, the FDD states that these subarticles will not be enforced to the extent prohibited by applicable law.

Furthermore, Minnesota law provides Deer Solution franchisees with certain termination rights. Minnesota Statutes Section 80C.14, subdivisions 3, 4, and 5, generally require that Deer Solution give the franchisee 90 days' notice of termination, with 60 days to cure the issue, except in certain specified cases.

This amendment ensures that Deer Solution franchisees in Minnesota receive the protections mandated by Minnesota law regarding franchise termination. Prospective franchisees should carefully review Minnesota Statutes Section 80C.14, subdivisions 3, 4, and 5, to fully understand their rights and the circumstances under which these protections apply.

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.