For Jersey Mikes franchises governed by Minnesota law, what are the required notice periods for termination and non-renewal of the Franchise Agreement, according to Section 17.7 added to the agreement?

According to Jersey Mike's 2025 Franchise Disclosure Document, Section 17.7 is added to the franchise agreement to address Minnesota law. For Jersey Mike's franchises governed by Minnesota law, Jersey Mike's will adhere to the Minnesota Franchise Act, specifically Section 80C.14, Subds. 3, 4, and 5.

This section of the Minnesota Franchise Act mandates that, except in certain specified cases, Jersey Mike's must provide franchisees with a 90-day notice of termination. This notice period includes a 60-day window for the franchisee to address and cure any issues that led to the termination notice. Additionally, the act requires Jersey Mike's to provide a 180-day notice for non-renewal of the franchise agreement.

In practical terms, this means that if Jersey Mike's intends to terminate a franchise agreement in Minnesota (outside of specific exceptions), they must give the franchisee 90 days' notice, allowing them 60 days to rectify the situation. If Jersey Mike's decides not to renew a franchise agreement in Minnesota, they must provide the franchisee with 180 days' notice before the agreement expires. This provides the franchisee ample time to prepare for the end of their franchise term, wind down operations, or explore other options.