Who are the parties included in the Assignor Releasing Parties in the Belocal agreement?
Belocal Franchise · 2025 FDDAnswer from 2025 FDD Document
- Release. Assignor, for itself and on behalf of its guarantors, predecessors, parents, affiliates, subsidiaries, shareholders, members, partners, officers, directors, managers, employees, agents, representatives, attorneys, accountants, heirs, executors, administrators, family members, successors, and assigns, and all other persons acting on their behalf or claiming under them ("Assignor Releasing Parties"), hereby release, acquit, and forever discharge Franchisor, Franchisor's predecessors, parents, subsidiaries, and affiliates, and their present and former 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, and all persons acting by, through, under or in concert with any of them ("Released Parties"), from all claims and damages whether known or unknown, which Assignor Releasing parties, or any of them, have, had, or claim to have against Released Parties, or any of them, including but not limited to claims arising out of or relating to the performance or non-performance of the Franchise Agreement or the relationships created thereby, this Agreement, and/or any other agreement between Assignor, Assignor's Principals, and/or entity owned in whole or in part by Assignor or Assignor's Principals on the one hand and Franchisor and/or any of its affiliates on the other hand. Excepted from this release are any contractual obligations under this Agreement, which remain in full force and effect.
[INCLUDE THE FOLLOWING SENTENCE FOR TRANSFERS IN WASHINGTON ONLY: The release in this Section 5 does not apply with respect to claims arising under the Washington Franchise Investment Protection Act, RCW 19.100, and the rules adopted thereunder.]
Source: Item 22 — CONTRACTS (FDD page 71)
What This Means (2025 FDD)
According to Belocal's 2025 Franchise Disclosure Document, the Assignor Releasing Parties include the assignor, along with its guarantors, predecessors, parents, affiliates, subsidiaries, shareholders, members, partners, officers, directors, managers, employees, agents, representatives, attorneys, accountants, heirs, executors, administrators, family members, successors, and assigns. It also encompasses all other persons acting on their behalf or claiming under them.
This definition is important because it clarifies who is giving up their rights to make claims against Belocal in the event of a transfer. The release extends beyond just the assignor (the current franchisee) to include a wide range of related individuals and entities. This ensures that Belocal is protected from potential future claims arising from the assignor's operations or relationship with Belocal.
Prospective franchisees should carefully review this section with their legal counsel to fully understand the scope of the release and its implications. Notably, the release typically covers all claims and damages, whether known or unknown, but may have exceptions for claims arising under specific state laws like the Washington Franchise Investment Protection Act. Furthermore, California residents are required to expressly waive rights and benefits under California Civil Code Section 1542.