In Minnesota, what is the minimum notice Southern Steer must provide to a franchisee before termination of the Franchise Agreement (including time to cure)?
Southern_Steer Franchise · 2025 FDDAnswer from 2025 FDD Document
The Franchise Disclosure Document and Franchise Agreement are amended to state that we will comply with Minnesota Statute 80C.14 subdivisions 3, 4 and 5, which require except in certain specific cases, that you be given 90 days' notice of termination (with 60 days to cure) and 180 days' notice for non-renewal of the Franchise Agreement.
Source: Item 5 — and 7 of the FDD, Section 3.1 of the Franchise Agreement and Section 4.1 of the Multi-Unit Development Agreement are hereby amended to state that payment of the initial franchise fee and development fee will be deferred until We have satisfied Our pre-opening obligations, and You have commenced business operations. (FDD pages 168–290)
What This Means (2025 FDD)
According to Southern Steer's 2025 Franchise Disclosure Document, the standard notice of termination is superseded by Minnesota state law. For franchisees operating in Minnesota, Southern Steer must provide a minimum of 90 days' notice of termination, with 60 days to cure the issue, except in certain specific cases.
This amendment to the franchise agreement is significant for prospective franchisees in Minnesota. It provides substantially more time to address any issues that could lead to termination, compared to the standard 30-day notice period described elsewhere in the FDD. This longer cure period can potentially save a franchisee's business if they encounter operational or compliance challenges.
It is important for potential Southern Steer franchisees in Minnesota to understand their rights under Minnesota Statutes, Chapter 80C, as the Franchise Disclosure Document and Franchise Agreement are amended to comply with these statutes. This ensures that franchisees are afforded all the protections available under Minnesota law, including the right to a 90-day notice of termination with a 60-day cure period.