Who are considered 'Franchisor Releasees' in the Belocal Transfer Agreement?
Belocal Franchise · 2025 FDDAnswer from 2025 FDD Document
Transferor and each Transferor Principal, for themselves and on behalf of all other persons or entities acting on any of their behalf or claiming under any of them ("Releasing Parties"), hereby irrevocably and unconditionally release, acquit, and forever discharge Franchisor, Franchisor's predecessors, parents, subsidiaries, and affiliates, their respective officers, directors, shareholders, partners, managers, members, agents, representatives, independent contractors, servants, employees, attorneys, accountants, guarantors, successors, and assigns, past and present, in their corporate and individual capacities, past and present, and all persons acting by, through, under or in concert with any of them ("Franchisor Releasees") or any of them, from all actions, causes of action, suits, debts, liens, obligations, promises, liabilities, claims, rights, demands, damages, controversies, losses, costs, and expenses (including attorneys' fees and costs actually incurred), known or unknown, suspected or unsuspected, fixed or contingent, which any of them now has, owns, holds, claims to have, claims to own, or claims to hold, or at any time heretofore had, owned, held, claimed to have, claimed to own, or claimed to hold (collectively, "claims") against each or any of the Franchisor Releasees, including but not limited to those arising out of or relating to the Franchise Agreement and the relationships created thereby, any other agreement between any Franchisor Releasee on the one hand and any Releasing Party on the other hand, and the offer or sale of the N2 publication franchise opportunity.
Source: Item 22 — CONTRACTS (FDD page 71)
What This Means (2025 FDD)
According to Belocal's 2025 Franchise Disclosure Document, the 'Franchisor Releasees' in the context of the transfer agreement are comprehensively defined. These include Belocal itself, along with its predecessors, parents, subsidiaries, and affiliates. The definition extends to their respective officers, directors, shareholders, partners, managers, members, agents, representatives, independent contractors, servants, employees, attorneys, accountants, guarantors, successors, and assigns, both past and present, acting in their corporate and individual capacities. This also encompasses all persons acting by, through, under, or in concert with any of them.
This broad definition is important because it clarifies who is protected by the release of claims within the transfer agreement. When a Belocal franchisee transfers their franchise, the transferor is essentially releasing all of these parties from any potential liabilities or claims related to the franchise agreement. This ensures that Belocal and its related entities are shielded from future legal actions arising from the previous franchisee's operation of the business.
Prospective franchisees should carefully review this definition and understand its implications. It is advisable to consult with an attorney to fully grasp the scope of the release and ensure they are comfortable with the extent of protection afforded to Belocal and its associated parties. Franchisees in Washington should note that this release does not apply to claims arising under the Washington Franchise Investment Protection Act.