What is the purpose of the General Release included as Exhibit H in the Amerispec Inspection Services Disclosure Document?
Amerispec_Inspection_Services Franchise · 2025 FDDAnswer from 2025 FDD Document
(i) , a [state] [individual or type of entity] with a principal address at ("Franchisee"); (ii) address , a [state] [individual or type of entity] with a principal [and at , a [state] [individual or type of entity] with a principal address at] ("Owners"); and, if applicable, (iii) , a [state] [individual or type of entity] with a principal address at ("Transferee"). RECITALS TCB AMERISPEC, LLC ("Franchisor") and Franchisee are parties to the following Franchise Agreements (collectively, the "Franchise Agreements"): Date of Agreement Franchise Agreement Number(s) (check one): Franchisee, Owners, and (if applicable) Transferee are executing this Release as a condition of (i) Franchisor consenting to a transfer of any interest in the Franchise Agreement or Franchisee's business or entity; (ii) the Franchise Agreement. Franchisor agreeing to enter into a successor Franchise Agreement with Franchisee; or (iii) Franchisor agreeing to amend the Franchise Agreement or waive any of its rights under
Source: Item 22 — Contracts (FDD pages 46–47)
What This Means (2025 FDD)
According to the 2025 Amerispec Inspection Services Franchise Disclosure Document, Exhibit H, the General Release, is a document executed by the franchisee, any owners, and potentially a transferee, as a condition for certain actions by Amerispec Inspection Services. These actions include Amerispec Inspection Services consenting to a transfer of interest in the Franchise Agreement or the franchisee's business, Amerispec Inspection Services agreeing to enter into a successor Franchise Agreement with the franchisee, or Amerispec Inspection Services agreeing to amend the Franchise Agreement or waive any of its rights under it.
The General Release involves the franchisee, any owners, and potentially a transferee releasing Amerispec Inspection Services from certain claims or liabilities. This is a common legal practice in franchising when there are changes in ownership, agreement terms, or renewals. By signing the release, the franchisee agrees to waive their right to sue Amerispec Inspection Services for issues that may have occurred during the previous term of the agreement.
However, an addendum to the Franchise Disclosure Document for the state of North Dakota states that any provision of the Franchise Agreement requiring the franchisee to sign a release in a format designated by Amerispec Inspection Services is unenforceable in North Dakota. This means that franchisees in North Dakota are not required to sign the General Release in the format prescribed by Amerispec Inspection Services.