Does the 7 Brew franchisee acknowledge the possibility of discovering new facts after signing the release?
7_Brew Franchise · 2025 FDDAnswer from 2025 FDD Document
orm their obligations under the Franchise Agreement before the date of your signature below, (2) arising out of or related in any way to our offer and grant to you of your 7 BREW Store franchise, or (3) otherwise arising out of or related in any way to your and the other Releasing Parties' relationship, from the beginning of time to the date of your signature below, with any of the 7 BREW Parties.
The released Claims include, but are not limited to, any Claim alleging violation of any deceptive or unfair trade practices laws, franchise laws, or other local, municipal, state, federal, or other laws, statutes, rules, or regulations. You and the other Releasing Parties acknowledge that you and they may after the date of the signatures below discover facts different from, or in addition to, those facts currently known to you and them, or which you and they now believe to be true, with respect to the Claims released by this document. You and the other Releasing Parties nevertheless agree that the release set forth in this document has been negotiated and agreed on despite such acknowledgement and despite any federal or state statute or common law principle which may provide that a general release does not extend to claims which are not known to exist at the time of execution.
You, on behalf of yourself and the other Releasing Parties, further covenant not to sue any 7 BREW Party on any Claim released by this document and represent that you have not assigned any Claim released by this document to any individual or entity that is not bound by this document.
We also are entitled to a release and covenant not to sue from your owners. By his, her, or their separate signatures below, your owners likewise grant to us the release and covenant not to sue provided above.
Source: Item 23 — RECEIPTS (FDD pages 83–279)
What This Means (2025 FDD)
According to 7 Brew's 2025 Franchise Disclosure Document, franchisees acknowledge that they may discover new or different facts after signing the release. This acknowledgement is part of a broader release of claims, where the franchisee agrees to release 7 Brew from any and all claims, damages, and liabilities, whether known or unknown, that arise from the franchise agreement or the relationship with 7 Brew.
Specifically, the FDD states that franchisees may discover facts that differ from or add to what they currently know when signing the release. Despite this possibility, franchisees agree to the release, indicating they have negotiated and agreed to it, regardless of any state or federal statute or common law principle that might otherwise limit the scope of a general release to known claims.
For franchisees in California, the document includes a specific acknowledgement of California Civil Code Section 1542, which states that a general release does not extend to claims unknown at the time of signing that, if known, would have materially affected the settlement. The franchisee specifically waives the rights and benefits under this section, acknowledging they may be giving up claims they are currently unaware of.