(a) For purposes of this section, the following terms havethe meanings given them.
(b) “Employee” means an individual employed by an employer and includes independentcontractors.
(c) “Employer” has the meaning given in section 177.23, subdivision 6.
(d) “Franchise,” “franchisee,” and “franchisor” have the meanings given in section80C.01, subdivisions 4 to 6.
(a) No franchisor mayrestrict, restrain, or prohibit in any way a franchisee from soliciting or hiring an employeeof a franchisee of the same franchisor.
(b) No franchisor may restrict, restrain, or prohibit in any way a franchisee from solicitingor hiring an employee of the franchisor.
(c) Any provision of an existing contract that violates paragraph (a) or (b) is void andunenforceable. When a provision in an existing contract violates this section, the franchiseemust provide notice to their employees of this law.
Notwithstanding any law to the contrary,no later than one year from the effective date of this section, franchisors shall:
(1) amend existing franchise agreements to remove any restrictive employment provisionthat violates subdivision 2; or
(2) sign a memorandum of understanding with each franchisee that provides that anycontract provisions that violate subdivision 2 in any way are void and unenforceable, andprovides notice to the franchisee of their rights and obligations under this section.
This section is effective the day following final enactment.