Does the Bumper Man General Release cover claims against past shareholders of Bumper Man?
Bumper_Man Franchise · 2025 FDDAnswer from 2025 FDD Document
- **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.
Source: Item 22 — CONTRACTS (FDD page 45)
What This Means (2025 FDD)
According to the 2025 Bumper Man Franchise Disclosure Document, the General Release does extend to past shareholders of Bumper Man. As part of the release, franchisees and their guarantors agree to release Bumper Man, its parents, subsidiaries, and affiliates, along with their past and present officers, directors, shareholders, agents, and employees, in both their corporate and individual capacities. This release covers all claims, demands, liabilities, and causes of action, whether known or unknown, that the franchisee ever had, currently has, or may have in the future.
This release includes claims arising under federal, state, and local laws, as well as claims for contribution, indemnity, and subrogation. It also encompasses claims arising out of or relating to the Franchise Agreement and any other agreements between the franchisee and Bumper Man. The release applies to any act, omission, or event occurring on or before the date of the release, unless prohibited by applicable law.
The franchisee and guarantors also acknowledge the risk that the facts related to the release may change or be different from what they currently know or believe. They accept this risk and agree that the release will remain effective regardless of any such differences in facts. This means that even if new information comes to light, the franchisee cannot terminate or rescind the release based on these new facts.
It is important to note that in certain states like California, the release does not extend to claims that the releasing party does not know or suspect to exist at the time of signing the release, and that, if known, would have materially affected their settlement with the released party. Franchisees in these states should be aware of this exception and consult with legal counsel if they have any concerns about unknown claims.