factual

Does the All County Franchise Agreement address claims against parties not involved in a settlement?

All_County Franchise · 2025 FDD

Answer from 2025 FDD Document

    1. Reservation of Claims Against Non-Settling Parties. All County and Franchisee expressly reserve their right and claims against any non-settling persons, firms, corporations, or other entities for whatever portion or percentage their damages are found to be attributable to the wrongful conduct of said non-settling parties.

Source: Item 22 — Contracts (FDD page 43)

What This Means (2025 FDD)

According to All County's 2025 Franchise Disclosure Document, the Franchise Agreement does address claims against non-settling parties. Specifically, both All County and the franchisee retain their rights and claims against any individuals, firms, corporations, or other entities that are not part of a settlement. This reservation applies to any portion or percentage of damages attributed to the wrongful conduct of these non-settling parties. This clause ensures that All County and its franchisees can pursue legal action against other responsible parties, even if a settlement has been reached with some parties involved.

This provision is important for prospective All County franchisees because it clarifies that settling a dispute with All County does not prevent them from pursuing claims against other entities that may be responsible for damages. This could include suppliers, contractors, or other third parties whose actions may have negatively impacted the franchisee's business. The franchisee maintains the right to seek compensation from these non-settling parties, ensuring they are not limited in their ability to recover losses.

For example, if a franchisee suffers financial losses due to a supplier's breach of contract, settling a dispute with All County regarding other aspects of the franchise agreement would not prevent the franchisee from suing the supplier for damages. This reservation of rights provides an additional layer of protection and recourse for franchisees, allowing them to address all sources of potential recovery.

It is important for prospective franchisees to understand this clause and consult with legal counsel to fully grasp its implications. This provision can be a valuable asset in protecting their interests and ensuring they have the ability to seek compensation from all responsible parties, not just All County, in the event of damages or losses.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.