Do both Floyds 99 and the developer waive their rights to a jury trial?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
| Developer is dated, 20 | This Rider to the Development Agreement by and between Floyd's 99 Franchising, LLC and | ||
|---|---|---|---|
| 1. | The following sentence is added at the end of Section 8.2.f: | ||
| arise under the Minnesota Franchise Act. | Any release executed in connection herewith will not apply to any claims that may | ||
| 2. | The following statement is added at the end of Section 9.5: | ||
| days' notice for non-renewal of this Agreement. | Minnesota law provides the Franchisee with certain termination and non-renewal | ||
| rights. Minn. Stat. Sec. 80C.14 Subd. 3, 4 and 5 require, except in certain specified cases, | |||
| that the Franchisee be given 90 days' notice of termination (with 60 days to cure) and 180 | |||
| place: | 3. | The last sentence of Section 13.4 is deleted, with the following statement inserted in its | |
| for by the laws of the jurisdiction. | Minnesota Statutes, Section 80C.21 and Minnesota Rule 2860.4400(J) prohibit the | ||
| franchisor from requiring litigation to be conducted outside Minnesota, requiring wavier | |||
| of a jury trial, or requiring the franchisee to consent to liquidated damages, termination | |||
| penalties or judgment notes. In addition, nothing in the Franchise Disclosure Document or | |||
| agreement(s) can abrogate or reduce any of franchisee's rights as provided for in Minnesota | |||
| Statutes, Chapter 80C, or franchisee's rights to any procedure, forum, or remedies provided |
Source: Item 23 — RECEIPT (FDD pages 58–229)
What This Means (2025 FDD)
According to the 2025 Floyds 99 Franchise Disclosure Document, the standard agreements generally include a clause requiring franchisees to waive their right to a jury trial. However, the enforceability of such a waiver is restricted by Minnesota law. Specifically, for agreements executed in Minnesota, Floyds 99 cannot enforce a clause that requires a franchisee to waive their right to a jury trial.
For prospective Floyds 99 franchisees in Minnesota, this addendum provides an important protection. It ensures that if a dispute arises that leads to litigation, the franchisee retains the right to have the case decided by a jury rather than a judge. This can be a significant advantage, as a jury may be more sympathetic to a franchisee's situation than a judge might be.
It is important to note that this protection applies specifically to franchisees in Minnesota due to state-specific franchise laws. Franchisees in other states may still be subject to jury trial waivers in their franchise agreements. Therefore, prospective franchisees should carefully review the specific terms of their franchise agreement and any state-specific addenda to understand their rights and obligations.