What is the document called that Annex Brands requires franchisees to sign to release claims?
Annex_Brands Franchise · 2025 FDDAnswer from 2025 FDD Document
EXHIBIT H
CURRENT FORM OF GENERAL RELEASE
CURRENT FORM OF GENERAL RELEASE (SUBJECT TO CHANGE)
This GENERAL RELEASE ("Release") is made and executed by {NAME}, individually ("you"), as of {DATE} ("Effective Date").
WHEREAS, ANNEX BRANDS, INC., a California corporation ("us") and you entered into a franchise agreement with an effective date of {DATE}, and {DESCRIBE FACTS}.
NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is acknowledged, you agree as follows:
Release-General Provisions. You, for yourself and on behalf of your heirs, executors, administrators, personal representatives, employees, agents, successors, and assigns, in their corporate and individual capacities (collectively "Releasors"), jointly and severally, hereby release and forever discharge each of the Franchisor-Related Persons/Entities as defined below (collectively "Franchisor-Related Persons/Entities") of and from any and all causes of action, in law or in equity, suits, debts, liens, defaults under contracts, leases, agreements or promises, liabilities, claims, demands, damages, losses, costs or expenses, of any nature whatsoever, howsoever arising, known or unknown, fixed or contingent, past or present, that Releasors ever had, now have or hereafter may have against any or all of the Franchisor-Related Persons/Entities by reason of any matter, cause or thing whatsoever from the beginning of time through the Effective Date hereof (the "Claims"), it being the mutual intention of the parties that this release be unqualifiedly general in scope and effect and that any Claims against the Franchisor-Related Persons/Entities are hereby forever canceled and forgiven.
YOU ACKNOWLEDGE THAT YOU ARE FAMILIAR WITH THE PROVISIONS OF CALIFORNIA CIVIL CODE SECTION 1542, WHICH PROVIDES AS FOLLOWS:
Source: Item 23 — Receipts (FDD pages 110–299)
What This Means (2025 FDD)
According to Annex Brands' 2025 Franchise Disclosure Document, the document franchisees must sign to release claims is called a "GENERAL RELEASE." Exhibit H of the FDD provides the current form of this release, although it notes that the form is subject to change.
The General Release requires franchisees to release Annex Brands, Inc. and its related persons/entities from any and all causes of action, suits, debts, liabilities, claims, demands, damages, losses, costs, or expenses. This release covers any issues from the beginning of time through the effective date of the release, indicating a broad scope. The document also requires franchisees to acknowledge their familiarity with California Civil Code Section 1542, which relates to claims unknown at the time of the release.
Notably, the California State Addendum to the Disclosure Document specifies that franchisees must sign a general release if they renew or transfer their franchise, or to receive a refund of the initial franchise fee under certain circumstances. However, it also states that California Corporations Code 31512 voids a waiver of rights under the franchise investment law and California Business and Professions Code 20010 voids a waiver of rights under the Franchise Relations Act. Furthermore, the Release does not apply to any claims arising under the Washington Franchise Investment Protection Act.
Prospective franchisees should carefully review the General Release with legal counsel to fully understand the implications of signing such a document, especially concerning their rights and potential future claims against Annex Brands. They should also be aware of the specific state laws, such as those in California and Washington, that may affect the enforceability and scope of the release.