In Minnesota, can a release signed as a condition of Dryject franchise transfer waive claims under the Minnesota Franchise Act?
Dryject Franchise · 2025 FDDAnswer from 2025 FDD Document
- Item 17, summary column for (m) is amended to add the following:
Any release signed as a condition of transfer will not apply to any claims you may have under the Minnesota Franchise Act.
Source: Item 8 — BUSINESS RELATIONSHIP (FDD pages 68–229)
What This Means (2025 FDD)
According to Dryject's 2025 Franchise Disclosure Document, any release signed as a condition of franchise transfer in Minnesota will not waive claims under the Minnesota Franchise Act. This amendment to Item 17 in the FDD specifically addresses franchise transfers governed by Minnesota law. This protection ensures that franchisees retain their rights and remedies under state law, even when signing a release as part of the transfer process.
This provision is favorable for prospective Dryject franchisees in Minnesota, as it prevents them from inadvertently relinquishing their legal rights under the Minnesota Franchise Act when transferring their franchise. Franchise laws are designed to protect franchisees from unfair practices, and this clause reinforces that protection. It is important to note that this protection applies specifically to claims arising under the Minnesota Franchise Act.
Dryject's FDD also states that Minnesota Statutes prohibit Dryject from requiring litigation to be conducted outside Minnesota, requiring waiver of a jury trial, or requiring the franchisee to consent to liquidated damages, termination penalties or judgment notes. Furthermore, nothing in the disclosure document or franchise agreement can reduce any of a franchisee's rights as provided for in Minnesota Statutes, Chapter 80C, or a franchisee's rights to any procedure, forum or remedies provided for by the laws of the jurisdiction. These stipulations collectively strengthen the legal standing of Dryject franchisees within Minnesota.