What is the effect of the Bambu General Release on the Franchisee's successors and assigns?
Bambu Franchise · 2025 FDDAnswer from 2025 FDD Document
- Release. Franchisee, for itself and its affiliates, and their respective current and former successors, assigns, officers, shareholders, directors, members, managers, agents, heirs and personal representatives ("Franchisee Affiliates"), hereby fully and forever unconditionally releases and discharges Bambu and its affiliates, and their respective successors, assigns, agents, representatives, employees, officers, shareholders, directors, members, managers and insurers (collectively referred to as "Bambu Affiliates") from any and all claims, demands, obligations, actions, liabilities and damages of every kind and nature whatsoever ("Released Claims"), in law or in equity, whether known or unknown, which Franchisee or the Franchisee Affiliates may now have against Bambu or the Bambu Affiliates or which may hereafter be discovered. Without limiting the foregoing, Released Claims includes, but is not limited to, all claims, demands, obligations, actions, liabilities and damages, known or unknown, in any way arising from or relating to: (i) any relationship or transaction with Bambu or the Bambu Affiliates, (ii) the Franchise Agreement or any related agreements, and (iii) the franchise relationship, from the beginning of time until the date of this Release.
Source: Item 23 — Receipts (FDD pages 52–209)
What This Means (2025 FDD)
According to the 2025 Bambu Franchise Disclosure Document, the General Release extends to the franchisee's successors and assigns. Specifically, the franchisee, including their current and former successors and assigns, fully and unconditionally releases and discharges Bambu and its affiliates from all claims, demands, obligations, actions, liabilities, and damages. This release covers all claims, whether known or unknown, that the franchisee or their affiliates may have against Bambu or its affiliates.
This means that not only is the franchisee bound by the release, but also anyone who takes over the franchise or to whom the franchise rights are transferred. This includes heirs, personal representatives, and other affiliated parties. The release covers a broad range of claims, including those arising from any relationship or transaction with Bambu, the Franchise Agreement, or the franchise relationship itself, from the beginning of time until the date of the release.
For prospective Bambu franchisees, this implies that they, along with anyone who might inherit or be assigned the franchise in the future, are giving up their rights to sue Bambu for any past, present, or future issues related to the franchise. This is a significant commitment and should be carefully considered with legal counsel to fully understand the scope and implications of the release. Franchisees in California should pay particular attention to the section regarding the waiver of California law related to unknown claims.