What is the subject of the 'Release of Claims' agreement between Batteries Plus Bulbs and the franchisee?
Batteries_Plus_Bulbs Franchise · 2025 FDDAnswer from 2025 FDD Document
| L.L.C. ("Batteries | Plus"), |
|---|---|
| ("Franchisee") and ("Guarantors") enter into this Release of Claims ("Agreement"). RECITALS | |
| A. | Batteries Plus and Franchisee entered into a Batteries Plus Franchise Agreement dated , (the "Franchise Agreement"). |
| B. | [NOTE: Describe the circumstances relating to the release.] AGREEMENTS |
| 1. | Consideration. [NOTE: Describe the consideration paid.] |
| 2-3. | [NOTE: Detail other terms and conditions of the release.] |
| 4. | Release of Claims. A. Definitions. 1. BP Parties: Batteries Plus and each of its subsidiaries, corporate parents and affiliates, and their respective officers, directors, owners, stockholders, members, |
C. The Franchisee Parties specifically and expressly acknowledge and agree that the consideration accepted under this Agreement is accepted in full satisfaction of any and all injuries and/or damages that have previously arisen and which may hereafter arise respecting any of the claims being released. [California option: The Franchisee Parties expressly waive all rights or benefits that they have or may have under Section 1542 of the California Civil Code, which section provides: A general release does not extend to claims which the creditor does not know or suspect to exist in his or her favor at the time of executing the release, which if known by him or her must have materially affected his or her settlement with the debtor.] D. The Franchisee Parties acknowledge that they have had a reasonable opportunity to consult with an attorney prior to signing this release and they have executed this release voluntarily. Also, the Franchisee Parties represent that they have not assigned or transferred to anyone any claims released by them under Section 4(B) above. 5. General. No amendment to this Agreement or waiver of the rights or obligations of either party shall be effective unless in writing signed by the parties. This Agreement is governed by the laws of the State of without regard to conflicts of laws principles. If any provision of this Agreement is held invalid or unenforceable by any court of competent jurisdiction, the other provisions of this Agreement will remain in full force and effect. This Agreement contains the entire agreement and understanding of the parties concerning the subject matter of this Agreement. [NOTE: Detail other miscellaneous provisions.] FRANCHISEE: BATTERIES PLUS, L.L.C. BY: BY: ITS: ITS: DATE: DATE:
F-24
PERSONAL GUARANTORS:
Source: Item 17 — Renewal, Termination, Transfer, and Dispute Resolution (FDD pages 49–53)
What This Means (2025 FDD)
According to the 2025 Batteries Plus Bulbs FDD, the Release of Claims agreement involves Batteries Plus Bulbs, the franchisee, and any guarantors. This agreement is entered into when there are circumstances relating to the release, which are described in the agreement. The agreement requires a description of the consideration paid. The agreement also contains other terms and conditions.
Specifically, the franchisee acknowledges that the consideration they receive is in full satisfaction of any injuries or damages that have arisen or may arise concerning the claims being released. In California, the franchisee waives their rights under Section 1542 of the California Civil Code, which states that a general release does not cover claims the creditor is unaware of that would have significantly affected their settlement had they been known.
The franchisee also acknowledges they had the opportunity to consult with an attorney before signing the release and that they are doing so voluntarily. They also confirm they have not assigned or transferred any claims released under the agreement. Any amendments to the agreement must be in writing and signed by both parties. The agreement is governed by the laws of a specific state, and it represents the entire understanding between the parties regarding the subject matter. This means that franchisees should carefully review the release with their attorney to fully understand what claims they are giving up and the implications of doing so.