Does the general release required as a condition of assignment/transfer for an Amorino franchise apply to any liability under the Maryland Franchise Registration and Disclosure Law?

According to Amorino's 2025 Franchise Disclosure Document, the general release required as a condition of assignment or transfer of an Amorino franchise does not apply to any liability under the Maryland Franchise Registration and Disclosure Law. This protection is specifically outlined in an amendment to Item 17[c] and 17[l] of the Franchise Disclosure Document for franchisees in Maryland. This amendment ensures that franchisees in Maryland do not waive their rights to pursue claims under Maryland franchise law when signing a general release during renewal, sale, assignment, or transfer of the franchise.

This provision is beneficial for prospective Amorino franchisees in Maryland as it safeguards their ability to seek legal recourse under the Maryland Franchise Registration and Disclosure Law, even after signing a general release. This protection is particularly important because general releases typically waive all claims against the franchisor, which could inadvertently include claims related to franchise law violations. By explicitly excluding liability under the Maryland Franchise Registration and Disclosure Law from the general release, Amorino provides franchisees with an added layer of security and legal protection.

For a prospective franchisee, this means that if they transfer their franchise, they can still pursue claims against Amorino under the Maryland Franchise Registration and Disclosure Law, if such claims exist. This could include claims related to misrepresentation or failure to disclose required information during the initial franchise sale. This amendment reflects a commitment to compliance with Maryland franchise law and provides franchisees with specific rights and remedies under that law. It is important for prospective franchisees to understand this provision and consult with legal counsel to fully understand their rights under Maryland law.