Is the execution of the General Release a condition for Bambu's consent to a Franchisee's request?
Bambu Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisee and its owners further agree to sign general releases, in a form satisfactory to Bambu, of any and all claims against Bambu and its shareholders, member, managers, officers, directors, employees, agents, successors, and assigns; and
- d.
Franchisee agrees that it shall be obligated to operate the Bambū shoppe, according to the terms of this Agreement, during the period in which Bambu is deciding whether to exercise its option to purchase and until the closing takes place, and that a condition to closing is that the Bambū shoppe has remained open during that time period.
Source: Item 23 — Receipts (FDD pages 52–209)
What This Means (2025 FDD)
According to Bambu's 2025 Franchise Disclosure Document, a franchisee and its owners must sign general releases in a form satisfactory to Bambu. This requirement is mentioned in the context of Bambu potentially exercising its option to purchase the franchisee's Bambu shoppe.
Specifically, the franchisee must agree to operate the Bambu shoppe according to the terms of the agreement while Bambu decides whether to exercise its purchase option. A condition to closing the purchase is that the Bambu shoppe remains open during this period.
Therefore, while the document doesn't explicitly state that the General Release is a condition for every request a franchisee might make, it is a condition if Bambu decides to purchase the franchise. This means a franchisee needs to be prepared to release all claims against Bambu to allow Bambu to proceed with the purchase option.