Under Minnesota law, can Zoomin Groomin unreasonably withhold consent to the transfer of a franchise?
Zoomin_Groomin Franchise · 2025 FDDAnswer from 2025 FDD Document
With respect to franchises governed by Minnesota law, the franchisor will comply with Minnesota Statutes, Section 80C.14, Subd. 3-5, which require (except in certain specified cases) (1) that a franchisee be given 90 days notice of termination (with 60 days to cure) and 180 days notice for non-renewal of the franchise agreement and (2) that consent to the transfer of the franchise will not be unreasonably withheld.
Source: Item 17 — g. of the Disclosure Document is modified to state that, in addition to the grounds for immediate termination specified in Item 17.h., the franchisor can terminate upon written notice and a 60 day opportunity to cure for a breach of the Franchise Agreement. (FDD pages 51–65)
What This Means (2025 FDD)
According to Zoomin Groomin's 2025 Franchise Disclosure Document, Minnesota Statutes, Section 80C.14, Subd. 3-5, addresses franchise transfers. For franchises governed by Minnesota law, Zoomin Groomin must comply with these statutes.
Specifically, the statutes mandate that, except in certain specified cases, consent to the transfer of a Zoomin Groomin franchise will not be unreasonably withheld. This provision protects franchisees by preventing Zoomin Groomin from arbitrarily denying a transfer request.
This means that if a Zoomin Groomin franchisee in Minnesota wants to sell or transfer their franchise, Zoomin Groomin can only deny the transfer if there is a reasonable basis for doing so. Unreasonable grounds for withholding consent could include personal preferences or arbitrary objections that are not based on legitimate business concerns. This ensures a fairer process for franchisees looking to transfer their business.