2007 Minnesota Statutes

80C.06 PUBLIC OFFERING STATEMENT.
    Subdivision 1. Type size and style. Except as required by sections 80C.01 to 80C.22, no
portion of the public offering statement shall be underscored, italicized, printed in larger or
bolder type than the balance of the statement unless the commissioner requires or permits it.
The public offering statement shall recite in boldface type of not less than 10-point type that
registration of this franchise does not constitute approval or recommendation of the franchise
by the commissioner.
    Subd. 2. Commissioner's authority to require additional information and form
requirements. In addition to the information required by section 80C.04 to be included in the
public offering statement, the commissioner may by rule or order require that specified portions
of the public offering statement be emphasized by italics, bold-faced type or other means, that
earnings or sales projections or estimations be qualified by appropriate legend and by the filing
with the commissioner of such other information or documents as are necessary or appropriate
in the public interest or for the protection of prospective franchisees or subfranchisors and may
require that such additional information or documents be furnished to prospective franchisees or
subfranchisors as part of the public offering statement.
    Subd. 3. Commissioner's authority to authorize exclusion of information. The
commissioner may by rule or order provide that any information required by section 80C.04
to be included in the public offering statement need not be included in respect of any class of
franchisees on finding that such information is inappropriate to such class and that disclosure
adequate for the protection of prospective franchisees or subfranchisors is otherwise included
within the public offering statement.
    Subd. 4. Commissioner's authority to deem compliance. The commissioner may by
rule or order deem to be in full or partial compliance with this section or section 80C.04, any
public offering or similar statement which complies with the requirements of any federal law or
administrative rule or with the law of any other state requiring substantially the same disclosure of
information as is required under sections 80C.01 to 80C.22.
    Subd. 5. Copy to franchisee; receipt. Any person offering for sale or selling any franchise
which is subject to the registration requirements imposed by section 80C.02 shall, at the person's
own expense, present to the prospective franchisee, at least seven days prior to the execution by
the prospective franchisee of any franchise or other agreement, or at least seven days prior to
the payment of any consideration by the franchisee, whichever occurs first, a copy of the current
public offering statement together with a copy of all proposed agreements relating to the sale of
the franchise. The franchisee shall be permitted to retain the public offering statement prior and
subsequent to the execution of any franchise or other agreement. The person offering or selling
the franchise shall obtain a receipt, signed by the prospective franchisee, acknowledging receipt
of a copy of the public offering statement prior to executing any franchise or other agreement
and prior to paying any consideration. The receipt shall be kept in the possession of the person
offering or selling the franchise, subject to inspection by the commissioner, for a period of three
years from the date the receipt is taken.
    Subd. 6. Commissioner's authority to require alteration or amendment. The
commissioner may require the franchisor to alter or amend the proposed public offering statement
in order to assure full and fair disclosure to prospective purchasers.
History: 1973 c 612 s 6; 1986 c 444