What consideration does the Bens Soft Pretzels franchisee provide for the release of claims by the franchisee?
Bens_Soft_Pretzels Franchise · 2025 FDDAnswer from 2025 FDD Document
In consideration of the other terms and conditions of this Agreement, the receipt and sufficiency of which is hereby acknowledged, Franchisee, for himself and for each of his heirs, executors, administrators, insurers, attorneys, agents, representatives, successors, and assigns, does hereby release and forever discharge Franchisor and each of its respective affiliated corporations, subsidiaries, divisions, insurers, indemnitors, attorneys, successors, and assigns, together with all of their past and present directors, officers, employees, attorneys, agents, assigns and representatives in their capacities as such, of and from any and all actions, suits, proceedings, claims (including, but not limited to, claims for
Source: Item 23 — RECEIPTS (FDD pages 47–191)
What This Means (2025 FDD)
According to the 2025 FDD, the Bens Soft Pretzels franchisee provides consideration based on the terms and conditions outlined in the Release of Claims agreement. The franchisee agrees to release Bens Soft Pretzels from any and all actions, suits, proceedings, and claims related to the Franchise Agreement. This release covers a broad range of potential claims, including those related to attorney's fees, complaints, charges, judgments, and executions, whether known or unknown, asserted or unasserted. The agreement acknowledges that the franchisee's consideration is the receipt and sufficiency of the terms and conditions detailed within the agreement.
This release is made by the franchisee on behalf of themselves, their heirs, executors, administrators, insurers, attorneys, agents, representatives, successors, and assigns. It essentially means the franchisee is giving up their right to sue Bens Soft Pretzels for any issues related to the franchise agreement, provided they adhere to the terms of the release agreement. This is a standard practice in franchising to ensure that once a relationship is terminated or altered, neither party can bring up old grievances.
However, it's important to note that both Bens Soft Pretzels and the franchisee retain their rights and claims against non-settling third parties for damages attributable to those parties' wrongful conduct. The agreement also specifies that it constitutes the entire understanding between the parties regarding the subject matter, superseding any prior agreements or representations. The franchisee acknowledges that they are entering into this agreement voluntarily, without coercion, and with the opportunity to consult with an attorney, ensuring they fully understand and accept the terms.
Prospective Bens Soft Pretzels franchisees should carefully review the Release of Claims agreement with their legal counsel to fully understand the implications of releasing Bens Soft Pretzels from potential claims. They should also be aware of any exceptions or limitations to the release, such as claims arising under specific state franchise laws like the Washington Franchise Investment Protection Act. Understanding these details is crucial before signing the agreement.