What kind of release must a Basecamp Fitness franchisee sign to renew their franchise agreement?

According to Basecamp Fitness's 2025 Franchise Disclosure Document, a franchisee must sign a general release to renew their franchise agreement. This release, in a form prescribed by Basecamp Fitness, absolves the franchisor and its affiliates from all claims to the fullest extent permitted by the laws of the state where the Basecamp Studio is located. This includes releasing current and former officers, directors, shareholders, employees, insurers, consultants, contractors, and agents in both their corporate and individual capacities.

The general release means that the franchisee gives up the right to sue Basecamp Fitness for any past issues. This is a significant commitment, as it covers all potential claims, known or unknown, that the franchisee may have against the franchisor. The franchisee should carefully consider this requirement and seek legal advice to fully understand the implications of signing such a release.

However, the FDD also includes addenda for California and New York franchisees that may modify the general release requirement. Specifically, the California addendum states that to the extent required by California law, a franchisee in California is not required to execute a general release. The New York addendum does not contain language about the general release. A prospective franchisee should consult with a legal professional to understand how these state-specific regulations might affect the renewal of their Basecamp Fitness franchise agreement.

Prospective franchisees should be aware that the specific terms of the release can vary and are subject to the laws of their state. It is crucial to review the release document carefully and understand the rights being waived before signing. Franchisees should also inquire about any specific exceptions or limitations to the release, particularly concerning claims arising under state franchise laws.