What liability is the franchisee releasing the Azal Coffee franchisor from as a condition of renewal?
Azal_Coffee Franchise · 2024 FDDAnswer from 2024 FDD Document
- Release. As a condition to our consent to your transfer to the Buyer, you release and forever discharge us and our representatives, owners, employees, officers, agents and assigns from all liability, right, claim, debt and cause of action whatsoever, known or unknown, suspected or unsuspected, which you ever had, now have or may have at any time based on any agreement entered into between the parties on or before the date of this Agreement or based on any act or omission occurring on or before the date of this Agreement; provided, that nothing contained in this Section will affect your rights and obligations under this Agreement.
Source: Item 22 — CONTRACTS (FDD page 51)
What This Means (2024 FDD)
Based on the 2024 Azal Coffee Franchise Disclosure Document, the franchisee is not explicitly required to release the franchisor from liability as a condition of renewal. However, as a condition of the transfer of a franchise to a buyer, the franchisee must release Azal Coffee from all liability.
Specifically, the franchisee releases Azal Coffee and its representatives, owners, employees, officers, agents, and assigns from all liability, right, claim, debt, and cause of action. This release covers everything, whether known or unknown, suspected or unsuspected, that the franchisee ever had, now has, or may have at any time. The release is based on any agreement entered into between the parties on or before the date of the agreement or based on any act or omission occurring on or before the date of the agreement.
However, this release does not affect the franchisee's rights and obligations under the current franchise agreement. This means that while past issues are waived, the franchisee's ongoing responsibilities and rights under the renewed agreement remain in effect. This is a common practice to ensure a clean slate when a franchise is transferred to a new owner.