Whether a particular relationship is considered a franchise requires an in-depth dive into both federal and state statutes defining a “franchise.” As is common in all states that have passed franchise acts, the definition of a franchise includes various elements....
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Year: 2019
Common Franchise Agreement Provisions: Right of First Refusal
What is it A right of first refusal is extremely common in the franchise industry. Most (if not all) franchise agreements contain a provision giving the franchisor a right of first refusal on the franchisee’s proposed transfer of its business, including a proposed...
Minnesota Supreme Court Clarifies Test and Requires Specific Language to be Used for Certain Indemnity Clauses—Dewitt v. London Road Rental Center, Inc., 910 N.W.2d 412 (Minn. 2018)
In Dewitt v. London Road Rental Center, Inc., 910 N.W.2d 412 (Minn. 2018), the Minnesota Supreme Court resolved the confusion surrounding the proper test for determining whether an indemnity clause is enforceable under Minnesota law. In Dewitt, a rented picnic table...
Minnesota’s Implied Covenant of Good Faith and Fair Dealing May Not be Contracted Away
In Northwest, Inc. v. Ginsberg, 572 U.S. 273 (2014), the United States Supreme Court held that Minnesota’s implied covenant of good faith and fair dealing may not be contracted away. In that case, the respondent was a member of airline’s frequent flyer program. Id. at...
What to do if faced with franchise agreement termination or non-renewal
For a franchisee, wrongful termination or non-renewal of a franchise agreement poses a serious threat to the business you’ve worked so hard to establish. It can often occur unexpectedly and for seemingly no reason. However, depending on your unique circumstances, you...