Does the Bambu General Release apply to Bambu's affiliates?
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 Bambu's 2025 Franchise Disclosure Document, the General Release applies to Bambu and its affiliates. The release states that the franchisee, along with its affiliates, releases and discharges both 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 its affiliates may have against Bambu or its affiliates.
This means that by signing the release, a Bambu franchisee and their related business entities are giving up their rights to sue Bambu or its affiliated companies for any reason. This includes past, present, and future claims related to the franchise agreement, any related agreements, or the franchise relationship itself. The release is intended to be comprehensive, covering all possible disputes that could arise between the franchisee and Bambu.
It is important for a prospective Bambu franchisee to carefully consider the implications of this release. They should understand that they are giving up significant legal rights, and they should consult with an attorney to fully understand the scope of the release before signing the franchise agreement. This is a standard practice in franchising, but the specific terms of the release can vary, so it's crucial to review it thoroughly.
Furthermore, the FDD includes specific clauses addressing the release of unknown claims and waivers of laws in California, Montana, and North Dakota. These clauses highlight that franchisees are acknowledging they may discover new facts after signing the release but are still intending to release all claims fully and forever. This underscores the importance of understanding the full implications of the release before signing.