Are there any exceptions to the covenant not to sue for Pump It Up franchisees?
Pump_It_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
180 days' notice for non-renewal of this Agreement.
- The last sentence of Section 27.B: is deleted, with the following statement inserted in its place:
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 for by the laws of the jurisdiction.
- The second sentence of Section 27.G. is deleted, and the following is inserted in its place:
You and we shall each have the right in the proper case to seek injunctive relief from a court of competent jurisdiction. You agree that we may seek such injunctive relief, without posting a bond or bonds totaling more than $1,000, but upon due notice, and that your sole remedy in the event of the entry of such injunctive relief shall be the dissolution of such injunctive relief, if warranted, upon hearing duly had; provided, however, that all claims for damages by reason of the wrongful issuance of any such injunction are hereby expressly waived by you.
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- NSF checks are governed by Minnesota Statute 604.113, which puts a cap of $30 on service charges.
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- The Limitations of Claims section must comply with Min
Source: Item 23 — RECEIPTS (FDD pages 60–225)
What This Means (2025 FDD)
According to the 2025 Pump It Up FDD, there are specific addenda that address waivers and releases, particularly for franchisees in New York, Washington, Maryland, and Minnesota.
For New York franchisees, the addendum states that any provision in the Franchise Agreement inconsistent with the New York General Business Law, Article 33, Sections 680 - 695 may not be enforceable, and the New York Franchises Law shall govern any claim arising under that law.
For Washington franchisees, the addendum specifies that no statement signed by a franchisee can waive claims under state franchise law, including fraud in the inducement, or disclaim reliance on statements made by the franchisor. This provision supersedes any other term of any document executed in connection with the franchise.
For Maryland franchisees, the addendum references Section 14-226 of the Maryland Franchise Registration and Disclosure Law, which prohibits a franchisor from requiring a prospective franchisee to assent to any release, estoppel, or waiver of liability as a condition of purchasing a franchise. Representations in the agreement are not intended to act as a release, estoppel, or waiver of any liability incurred under the Maryland Franchise Registration and Disclosure Law. For Minnesota franchisees, the addendum modifies Section 27.G, stating that both the franchisee and Pump It Up have the right to seek injunctive relief from a court of competent jurisdiction. Pump It Up may seek such relief with a bond limit of $1,000, and the franchisee's sole remedy is the dissolution of the injunction if warranted, waiving all claims for damages from wrongful issuance.