factual

Does the Bumper Man General Release prevent the Releasors from encouraging any criminal proceeding?

Bumper_Man Franchise · 2025 FDD

Answer from 2025 FDD Document

  • **4.

Covenant Not to Sue.** Franchisee and Guarantors, on behalf of themselves and Releasors, covenant 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 person or entity released under Section 1 above with respect to any Claim released under Section 1 above.

Source: Item 22 — CONTRACTS (FDD page 45)

What This Means (2025 FDD)

According to the 2025 Bumper Man Franchise Disclosure Document, the General Release includes a covenant not to sue. Specifically, franchisees and guarantors, on behalf of themselves and other releasors, agree not to initiate, prosecute, encourage, assist, or participate in any civil, criminal, or administrative proceeding or investigation against any person or entity released under the agreement. This applies in any court, agency, or other forum, whether directly or indirectly through cross-claims, defenses, or counterclaims.

This provision means that as a Bumper Man franchisee, you are giving up your right to take legal action against the franchisor and related parties in most situations. This includes not only direct lawsuits but also any form of support or encouragement for legal actions initiated by others. The release covers a broad range of claims, whether known or unknown at the time of signing the release.

However, there is an exception: the release does not apply to claims arising under the Franchise Investment Protection Act, chapter 19.100 RCW, or the rules adopted thereunder in accordance with RCW 19.100.220(2). This exception provides some protection for franchisees under specific Washington state laws related to franchise investments.

It is important for a prospective Bumper Man franchisee to carefully consider the implications of this release, as it significantly limits their legal recourse against the franchisor. Franchisees should consult with an attorney to fully understand the scope and impact of this covenant not to sue before signing the Franchise Agreement.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.