What does the Benjamin Franklin Plumbing General Release covenant not to sue entail?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
: Name: , in their individual capacity Date: By: Name: , in their individual capacity Date:
EXHIBIT D SAMPLE OF GENERAL RELEASE
SAMPLE OF RELEASE TO BE SIGNED WHEN YOU: (A) RENEW YOUR FRANCHISED BUSINESS; (B)TRANSFER A FRANCHISED BUSINESS; (C) MODIFY THE TERRITORY OF A FRANCHISED BUSINESS; (D) LICENSE AN ADDITIONAL TERRITORY
Note: Where required by state law, this Release will be modified so that it does not apply to your rights under the state law. Please see Exhibit K to the disclosure document.
THIS GENERAL RELEASE DOES NOT APPLY WITH RESPECT TO CLAIMS ARISING UNDER THE WASHINGTON FRANCHISE INVESTMENT PROTECTION ACT, RCW 19.100, AND THE RULES ADOPTED THEREUNDER.
GENERAL RELEASE
THIS GENERAL RELEASE is signed by: (i) Benjamin Franklin Franchising SPE LLC ("Franchisor"); (ii) the BENJAMIN FRANKLIN PLUMBING franchisee named at the end of the document ("Franchisee" or "you"); and (iii) Franchisee's owners (the "Owners") as an express condition of Franchisee and/or the Owners: (1) (a) renewing, (b) transferring, (c) or modifying the Territory of their BENJAMIN FRANKLIN PLUMBING franchise, or (2) licensing an additional BENJAMIN FRANKLIN PLUMBING Territory.
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Source: Item 22 — CONTRACTS (FDD pages 87–88)
What This Means (2025 FDD)
According to the 2025 Benjamin Franklin Plumbing FDD, the General Release is signed by Benjamin Franklin Franchising SPE LLC (the Franchisor), the franchisee, and the franchisee's owners. This release is required when a franchisee renews, transfers, or modifies their territory, or licenses an additional territory. By signing this release, the franchisee and their owners acknowledge that it serves as a complete defense against any claim released under Section 1 of the agreement. They also consent to a temporary or permanent injunction to prevent the assertion of any such claim.
For franchisees in California, the General Release extends to all claims, and they expressly waive their rights under Section 1542 of the Civil Code of the State of California. This section states that a general release does not cover claims that the releasing party is unaware of at the time of signing, which, if known, would have significantly affected their settlement with the released party. However, the General Release does not apply to claims arising under the Washington Franchise Investment Protection Act, RCW 19.100, and its associated rules.
This means that a Benjamin Franklin Plumbing franchisee, when renewing or making changes to their franchise agreement, gives up the right to sue the franchisor for certain claims. This could have significant implications if issues arise later that were not known at the time of the release. Franchisees should carefully consider the implications of this release and seek legal counsel to fully understand their rights and obligations before signing.