factual

What is the Releasor prohibited from doing regarding claims against Benihana after signing the release?

Benihana Franchise · 2024 FDD

Answer from 2024 FDD Document

Release by Releasor: Releasor does for itself, its successors and assigns, hereby release and forever discharge generally the Franchisor and any affiliate, wholly owned or controlled corporation, subsidiary, successor or assign thereof and any shareholder, officer, director, employee, or agent of any of them, from any and all claims, demands, damages, injuries, agreements and contracts, indebtedness, accounts of every kind or nature, whether presently known or unknown, suspected or unsuspected, disclosed or undisclosed, actual or potential, which Releasor may now have, or may hereafter claim to have or to have acquired against them of whatever source or origin, arising out of or related to any and all transactions of any kind or character at any time prior to and including the date hereof, including generally any and all claims at law or in equity, those arising under the common law or state or federal statutes, rules or regulations such as, by way of example only, franchising, securities and anti-trust statutes, rules or regulations, in any way arising out of or connected with the Agreement, and further promises never from this day forward, directly or indirectly, to institute, prosecute, commence, join in, or generally attempt to assert or maintain any action thereon against the Franchisor, any affiliate, successor, assign, parent corporation, subsidiary, director, officer, shareholder, employee, agent, executor, administrator, estate, trustee or heir, in any court or tribunal of the United States of America, any state thereof, or any other jurisdiction for any matter or claim arising before execution of this Agreement.

If Releasor breaches any of the promises, covenants, or undertakings made herein by any act or omission, Releasor must pay, by way of indemnification, all costs and expenses of the Franchisor caused by the act or omission, including reasonable attorneys' fees.

Releasor hereto represents and warrants that no portion of any claim, right, demand, obligation, debt, guarantee, or cause of action released hereby has been assigned or transferred by Releasor party to any other party, firm or entity in any manner including, but not limited to, assignment or transfer by subrogation or by operation of law.

Source: Item 22 — CONTRACTS (FDD pages 73–74)

What This Means (2024 FDD)

According to Benihana's 2024 Franchise Disclosure Document, after signing a release, the Releasor agrees to release and forever discharge Benihana and its affiliates from all claims, demands, damages, injuries, agreements, contracts, indebtedness, and accounts of every kind. This includes claims that are currently known or unknown, suspected or unsuspected, disclosed or undisclosed, actual or potential, which the Releasor may have now or in the future against Benihana. These claims arise from transactions of any kind before the date of the release, including those at law or in equity, and those arising under common law or state/federal statutes like franchising, securities, and anti-trust laws.

Furthermore, the Releasor promises never to institute, prosecute, commence, join in, or attempt to assert or maintain any action against Benihana, its affiliates, successors, assigns, parent corporations, subsidiaries, directors, officers, shareholders, employees, agents, executors, administrators, estates, trustees, or heirs in any court or tribunal within the United States or any other jurisdiction. This prohibition applies to any matter or claim arising before the execution of the agreement.

If the Releasor breaches any of these promises, covenants, or undertakings through any act or omission, the Releasor must indemnify Benihana for all costs and expenses resulting from the breach, including reasonable attorneys' fees. The Releasor also represents and warrants that they have not assigned or transferred any portion of any claim, right, demand, obligation, debt, guarantee, or cause of action released to any other party, firm, or entity.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.