Does the Bumper Man General Release apply to claims arising out of breach of contract?
Bumper_Man Franchise · 2025 FDDAnswer from 2025 FDD Document
t") between Franchisee and Bumper Man, Inc. ("Franchisor"). | |
- 1. Release by Franchisee and Guarantors. Franchisee and Guarantors, on behalf of themselves and their successors, heirs, personal representatives, executors, administrators, personal representatives, agents, contractors, assigns, partners, shareholders, members, directors, officers, members, principals, employees, parents, subsidiaries, and affiliated entities, (collectively "Releasors") freely and without any influence forever release Franchisor, its parent, subsidiaries and affiliates and their respective past and present officers, directors, shareholders, agents and employees, in their corporate and individual capacities (collectively, the "Released Parties"), from any and all claims, demands, liabilities and causes of action of whatever kind or nature, whether known or unknown, vested or contingent, suspected or unsuspected (collectively "Claims"), that Releasors ever owned or held, now own or hold or may in the future own or hold, including, without limitation, claims arising under federal, state and local laws, rules and ordinances, claims for contribution, indemnity and/or subrogation, and claims arising out of, or relating to the Franchise Agreement and all other agreements between Franchisee and/or any Guarantor and any Released Parties, arising out of, or relating to any act, omission or event occurring on or before the date of this Release, unless prohibited by applicable law.
- 2. Risk of Changed Facts. Franchisee and Guarantors understand that the facts in respect of which the Release in Section 1 above is given may turn out to be different from the facts now known or believed by them to be true. Franchisee and Guarantors hereby accept and assume the risk of the facts turning out to be different and agree that the Release shall nevertheless be effective in all respects and not subject to termination or rescission by virtue of any such difference in facts.
- 3. No Prior Assignment. Franchisee and Guarantors represent and warrant that the Releasors are the sole owners of all Claims and rights released hereunder and that Releasors have not assigned or transferred, or purported to assign or transfer, t
Source: Item 22 — CONTRACTS (FDD page 45)
What This Means (2025 FDD)
According to the 2025 Bumper Man Franchise Disclosure Document, the general release executed by the franchisee and any guarantors releases Bumper Man from a wide array of potential claims. Specifically, the release covers all claims, demands, liabilities, and causes of action, whether known or unknown, vested or contingent, suspected or unsuspected, that the franchisee (or related parties) ever owned, now owns, or may own in the future.
This broad release explicitly includes claims arising under federal, state, and local laws, rules, and ordinances, as well as claims for contribution, indemnity, and/or subrogation. Critically, it also encompasses claims arising out of, or relating to, the Franchise Agreement and all other agreements between the franchisee and Bumper Man. This means that claims for breach of contract under the Franchise Agreement are generally included within the scope of the release.
However, there are some limitations and exceptions to this general release. For example, the release does not apply to claims arising under the Franchise Investment Protection Act in Washington state. Additionally, California franchisees acknowledge a specific section of the California Civil Code that states a general release does not extend to unknown claims that would have materially affected the settlement if known. Furthermore, certain states like Maryland have laws stating that the general release does not release any claim under the Maryland Franchise Registration and Disclosure Law. A prospective Bumper Man franchisee should carefully review these exceptions and consider the implications of signing such a broad release, especially concerning potential future disputes related to the franchise agreement.