What section of Minnesota Statutes must the Limitations of Claims section comply with for Desi District?
Desi_District Franchise · 2024 FDDAnswer from 2024 FDD Document
- The Limitations of Claims section must comply with Minnesota Statutes, Section 80C.17, Subd. 5, which states "No action may be commenced pursuant to this Section more than three years after the cause of action accrues."
Source: Item 23 — RECEIPTS (FDD pages 52–140)
What This Means (2024 FDD)
According to Desi District's 2024 Franchise Disclosure Document, the Limitations of Claims section within the franchise agreement must adhere to Minnesota Statutes, Section 80C.17, Subd. 5. This statute dictates that "No action may be commenced pursuant to this Section more than three years after the cause of action accrues."
In simpler terms, this means that if a Desi District franchisee in Minnesota has a legal claim against the franchisor under Section 80C.17 of the Minnesota Statutes, they must initiate legal action within three years from the date the cause of action arises. If the franchisee waits longer than three years, they may lose their right to sue Desi District for that particular claim.
This provision is designed to provide a reasonable timeframe for franchisees to bring legal claims while also protecting franchisors from facing lawsuits based on stale or outdated grievances. It is a standard legal practice to have statutes of limitations to ensure fairness and prevent the indefinite possibility of litigation. Prospective franchisees should be aware of this limitation and consult with an attorney to understand their rights and obligations under Minnesota law and the franchise agreement.