What state's laws govern the Fly Fitness agreement?
Fly_Fitness Franchise · 2024 FDDAnswer from 2024 FDD Document
ated damages.
- (e) Minn. Stat. § 80C.17 subd. 5 requires that an action be commenced pursuant to the Franchise Act within three (3) years after the cause of action accrues. You cannot consent to us obtaining injunctive relief. We may seek injunctive relief. See Minnesota Rules 2860.4400(J),
AMENDMENT TO THE FLY FITNESS FRANCHISE, L.L.C. FRANCHISE AGREEMENT REQUIRED BY THE STATE OF MINNESOTA
In recognition of the requirements of the Minnesota Statutes Chapter 80C, the parties to the attached Fly Fitness Franchise Agreement (the "Franchise Agreement") agree as follows:
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- Minnesota Rules 2860.4400(D) prohibits a franchisor from requiring a franchisee's assent to a release other than as part of a voluntary settlement of disputes. To the extent of any inconsistencies with the Minnesota Rules requirement contained in Sections 5.2.5 or 16.3.6 of the Franchise Agreement, such inconsistent provisions are hereby deleted.
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- To the extent of any inconsistencies, Section 5.1.1 of the Franchise Agreement is hereby amended to state:
"Except in certain specified cases as set forth in Minn. Stat. § 80C.14 subd. 4, Franchisor will give Franchisee 180 days' notice for non-renewal of the Franchise Agreement."
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- To the extent of any inconsistencies, Section 6.4 of the Franchise Agreement is hereby amended to state that the non-sufficient funds fee is Thirty Dollars ($30.00) per occurrence.
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- To the extent of any inconsistencies, Sections 17.1 through 17.3 of the Franchise Agreement
Source: Item 22 — CONTRACTS (FDD pages 44–45)
What This Means (2024 FDD)
Based on the 2024 Fly Fitness Franchise Disclosure Document, the agreement is governed by Minnesota state laws. Item 22 includes amendments to the Fly Fitness franchise agreement that are required by the state of Minnesota, indicating that Minnesota Statutes Chapter 80C influences the agreement's terms.
Specifically, the document highlights several Minnesota rules and statutes that take precedence over certain sections of the standard Fly Fitness Franchise Agreement. These include rules regarding non-renewal notices, termination notices, non-sufficient funds fees, and franchisees' rights. For example, Minnesota law prohibits Fly Fitness from requiring franchisees to conduct litigation outside of Minnesota or from requiring a waiver of a jury trial.
These amendments suggest that if a prospective Fly Fitness franchisee is opening a location in Minnesota, the franchise agreement will be modified to comply with Minnesota franchise laws, providing additional protections and rights compared to the standard agreement. Franchisees should carefully review these state-specific amendments to understand their rights and obligations under the franchise agreement within the context of Minnesota law.