What section is added to, and what is the subject of the addition to Section 17.J of the Focalpoint Coaching Franchise Agreement?
Focalpoint_Coaching Franchise · 2025 FDDAnswer from 2025 FDD Document
- Consent to Jurisdiction. The following is added to the end of Section 17.G of the Franchise Agreement:
However, Minn. Stat. Sec. 80C.21 and Minn. Rule 2860.4400J prohibit us, except in certain specified cases, from requiring litigation to be conducted outside Minnesota. Nothing in this Section 17.G shall abrogate or reduce any of your rights under Minnesota Statutes Chapter 80C or your right to any procedure, forum or remedies that the laws of the jurisdiction provide.
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- Waiver of Punitive Damages and Jury Trial. If required by the Minnesota Franchises Law, Section 17.H of the Franchise Agreement is deleted.
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- Limitations of Claims. The following is added to the end of Section 17.J of the Franchise Agreement:
However, Minnesota law provides that no action may be commenced under Minn. Stat. Sec. 80C.17 more than three (3) years after the cause of action accrues.
- No Waiver of Disclaimer of Reliance. No statement, questionnaire or acknowledgment signed or agreed to by a franchisee in connection with the commencement of the franchise relationship shall have the effect of (i) waiving any claims under any applicable state franchise law, including fraud in the inducement, or (ii) disclaiming reliance on any statement made by any franchisor, franchise seller, or any other person acting on behalf of the franchisor. This provision supersedes any other term of any document executed in connection with the franchise.
Source: Item 22 — Contracts (FDD pages 56–57)
What This Means (2025 FDD)
According to the 2025 Focalpoint Coaching Franchise Disclosure Document, Section 17.J of the Franchise Agreement has additions that pertain to the limitation of claims, specifically addressing the statutes of limitations under franchise laws for Minnesota, North Dakota, Maryland and New York.
For Minnesota, the addition clarifies that no action may be commenced under Minn. Stat. Sec. 80C.17 more than three years after the cause of action accrues. For North Dakota, the added language states that the time limitations set forth in Section 17.J might be modified by the North Dakota Franchise Investment Law. For Maryland, the addition specifies that the limitation of claims shall not reduce the three-year statute of limitations afforded for bringing a claim under the Maryland Franchise Registration and Disclosure Law. For New York, the added language ensures that all rights and causes of action arising from Article 33 of the General Business Law of the State of New York remain in force, satisfying the non-waiver provisions of GBL Sections 687.4 and 687.5.
These additions serve to inform the franchisee of their rights and the legal limitations on claims they can bring against Focalpoint Coaching, ensuring compliance with state-specific franchise laws. Prospective franchisees should be aware of these limitations as they could impact their ability to pursue legal action in the future.