Can an Extreme Art Studio franchisee in Minnesota waive their right to a jury trial?
Extreme_Art_Studio Franchise · 2024 FDDAnswer from 2024 FDD Document
MINNESOTA
Despite anything to the contrary in the Franchise Agreement, the following provisions will supersede and apply to all Franchises offered and sold in the State of Minnesota:
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- Minn. Rule Part 2860.4400J prohibits a franchisee from waiving his rights to a jury trial or waiving his rights to any procedure, forum, or remedies provided for by the laws of the jurisdiction, or consenting to liquidated damages, termination penalties or judgment notes. Any provision in the Franchise Agreement which would require you to waive your rights to any procedure, forum or remedies provided for by the laws of the State of Minnesota is deleted from any agreement relating to Franchises offered and sold in the State of Minnesota; provided, however, that this paragraph will not affect the obligation in the Franchise Agreement relating to arbitration.
Source: Item 23 — RECEIPTS (FDD pages 49–214)
What This Means (2024 FDD)
According to the 2024 Extreme Art Studio Franchise Disclosure Document, a franchisee in Minnesota cannot waive their right to a jury trial. Specifically, Minnesota Rule Part 2860.4400J prohibits a franchisee from waiving this right, as well as the right to any procedure, forum, or remedies provided by Minnesota law. This rule also prevents franchisees from consenting to liquidated damages, termination penalties, or judgment notes.
This means that any provision in the Extreme Art Studio Franchise Agreement that would require a franchisee to waive their rights to a jury trial or any legal procedures or remedies available under Minnesota law is considered void and unenforceable in Minnesota. However, the FDD clarifies that this does not affect any obligations related to arbitration, which may still be required under the Franchise Agreement.
For a prospective Extreme Art Studio franchisee in Minnesota, this is a significant protection. It ensures that they retain their full legal rights within the state, preventing the franchisor from imposing terms that would limit their ability to seek justice through the court system. This addendum provides additional security and reinforces the franchisee's position in any legal disputes that may arise.