What Minnesota statutes and rules are referenced regarding the Goldfish Swim School franchise agreement?
Goldfish_Swim_School Franchise · 2025 FDDAnswer from 2025 FDD Document
In recognition of the Minnesota Franchise Law, Minn. Stat., Chapter 80C, Sections 80C.01 through 80C.22, and the Rules and Regulations promulgated pursuant thereto by the Minnesota Commission of Securities, Minnesota Rule 2860.4400, et. seq., the parties to the attached Franchise Agreement agree as follows:
Sections 4 and 16 are amended to add that with respect to Franchises governed by Minnesota Law, Franchisor will comply with the Minnesota Franchise Law that requires, except in certain specified cases, that Franchisee be given 90 days notice of termination (with 60 days to cure) and 180 days notice of non-renewal of the Agreement.
Sections 4.2.9, 5.2, 5.5, 8.3, 18.2.3 and 18.2.6 do not provide for a prospective general release of any claims against Franchisor that may be subject to the Minnesota Franchise Law.
Minn. Rule 2860.4400D prohibits a franchisor from requiring a franchisee to assent to a general release.
Section 6 is amended to add that as required by Minnesota Franchise Act, Goldfish Swim School Franchising LLC will reimburse you for any costs incurred by you in the defense of your right to use the Marks, so long as you were using the Marks in the manner authorized by Goldfish Swim School Franchising LLC, and so long as Goldfish Swim School Franchising LLC is timely notified of the claim and is given the right to manage the defense of the claim including the right to compromise, settle or otherwise resolve the claim, and to determine whether to appeal a final determination of the claim.
Section 23.4 is amended to state that any claim concerning the Franchised Swim School or this Agreement or any related agreement will be barred unless an arbitration or an action for a claim that cannot be the subject of arbitration is commenced within three (3) years from the date on which Franchisee or Franchisor knew or should have known, in the exercise of reasonable diligence, of the facts giving rise to or the claim.
Section 23.5 is deleted in its entirety.
Section 23.6 is deleted in its entirety.
Minn. Stat. §80C.21 and Minn.
Source: Item 23 — RECEIPTS (FDD pages 77–389)
What This Means (2025 FDD)
According to the 2025 Goldfish Swim School Franchise Disclosure Document, the franchise agreement is subject to Minnesota law. Specifically, the agreement recognizes the Minnesota Franchise Law, Minn. Stat., Chapter 80C, Sections 80C.01 through 80C.22, and the Rules and Regulations promulgated pursuant thereto by the Minnesota Commission of Securities, Minnesota Rule 2860.4400, et. seq. Several sections of the franchise agreement are amended to comply with Minnesota law.
For franchises governed by Minnesota law, Goldfish Swim School will provide 90 days' notice of termination (with 60 days to cure) and 180 days' notice of non-renewal, except in certain specified cases. Certain sections of the agreement (4.2.9, 5.2, 5.5, 8.3, 18.2.3 and 18.2.6) are noted as not providing for a prospective general release of claims against Goldfish Swim School, as Minnesota Rule 2860.4400D prohibits franchisors from requiring franchisees to agree to a general release.
Furthermore, as required by the Minnesota Franchise Act, Goldfish Swim School will reimburse franchisees for costs incurred in defending their right to use the Marks, provided the franchisee used the Marks as authorized, and Goldfish Swim School is notified and allowed to manage the defense. Any claim concerning the Franchised Swim School or the agreement must be brought within three years from when the franchisee or franchisor knew or should have known about the facts giving rise to the claim. Sections 23.5 and 23.6 of the agreement are deleted entirely. Minn. Stat. §80C.21 and Minn. are also referenced.