Does the Better Blend General Release specify a geographic limit to its applicability?
Better_Blend Franchise · 2024 FDDAnswer from 2024 FDD Document
This General Release ("Release") is executed by the undersigned ("Releasor") in favor of Better Blend Franchising, LLC, an Ohio limited liability company ("BBF").
Background Statement: [describe circumstances of Release]
Releasor agrees as follows:
- **1.
Release.** Releasor (on behalf of itself and its parents, subsidiaries and affiliates and their respective past and present officers, directors, shareholders, managers, members, partners, agents, and employees (collectively, the "Releasing Parties")) hereby releases BBF, its affiliates, and their respective directors, officers, shareholders, employees, franchise sellers, and agents (collectively, the "Released Parties") from any and all claims, causes of action, suits, debts, agreements, promises, demands, liabilities, contractual rights and/or obligations, of whatever nature, known or unknown, which any Releasing Party now has or ever had against any Released Party based upon and/or arising out of events that occurred through the date hereof, including without limitation, anything arising out of the Franchise Agreement (collectively, "Claims").
- **2.
Covenant Not to Sue.** Releasor (on behalf of all Releasing Parties) covenants not to initiate, prosecute, encourage, assist, or (except as required by law) participate in any civil, criminal, or administrative proceeding or investigation in any court, agency, or other forum, either affirmatively or by way of cross-claim, defense, or counterclaim, against any Released Party with respect to any Claim.
Source: Item 23 — RECEIPTS (FDD pages 43–157)
What This Means (2024 FDD)
According to Better Blend's 2024 Franchise Disclosure Document, the General Release does not specify a geographic limit to its applicability. The General Release is a standard form that Better Blend may require a franchisee to sign in certain circumstances, such as a franchise renewal or as a condition of approving the sale of the franchise.
The General Release requires the franchisee (the Releasor), on behalf of themselves and related parties, to release Better Blend Franchising, LLC (BBF) and its affiliates from any and all claims, causes of action, suits, debts, agreements, promises, demands, liabilities, contractual rights, and/or obligations, of whatever nature, known or unknown, which any Releasing Party now has or ever had against any Released Party. This release includes anything arising out of the Franchise Agreement.
Furthermore, the franchisee agrees not to initiate or participate in any legal proceedings against Better Blend or related parties with respect to any claim. The document does not contain any language limiting the applicability of the release to a specific geographic area. However, it is important to note that in the state of North Dakota, franchise agreements that require the franchisee to sign a general release upon renewal of the franchise agreement have been held by the Securities Commissioner to be unfair, unjust, or inequitable to North Dakota franchisees.