Who is considered a 'Releasor' in the context of the Bombs Away franchise agreement?
Bombs_Away Franchise · 2024 FDDAnswer from 2024 FDD Document
This General Release ("Release") is executed by the undersigned ("Releasor") in favor of Bombs Away Franchising, LLC, a Wyoming Limited Liability Company ("Bombs Away Franchising").
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 Bombs Away Franchising, its affiliates, and their respective directors, officers, shareholders, employees, 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.
- **3.
Representations and Acknowledgments.** Releasor represents and warrants that: (i) Releasor is the sole owner of all Claims, and that no Releasing Party has assigned or transferred, or purported to assign or transfer, to any person or entity, any Claim; (ii) Releasor has full power and authority to sign this Release; and (iii) this Release has been voluntarily and knowingly signed after Releasor has had the opportunity to consult with counsel of Releasor's choice.
Releasor acknowledges that the release in Section 1 is a complete defense to any Claim.
Source: Item 22 — CONTRACTS (FDD pages 35–36)
What This Means (2024 FDD)
According to the 2024 Bombs Away Franchise Disclosure Document, the 'Releasor' is the party who executes the General Release in favor of Bombs Away Franchising, LLC. This means the Releasor is the party giving up certain rights or claims against Bombs Away Franchising.
Specifically, the Releasor agrees to release Bombs Away Franchising, its affiliates, and their respective directors, officers, shareholders, employees, and agents from any and all claims, causes of action, suits, debts, agreements, promises, demands, liabilities, contractual rights and/or obligations. This release covers both known and unknown issues that the Releasor (or related parties) may have against Bombs Away Franchising.
Furthermore, the Releasor covenants not to initiate or participate in any legal proceedings against Bombs Away Franchising related to these claims. The Releasor also represents that they have the authority to sign the release and have done so voluntarily after having the opportunity to consult with legal counsel. This is a standard legal protection for the franchisor. A prospective franchisee should carefully review this section with their attorney to fully understand the scope of the release and its implications for their rights.