Is the Bumper Man General Release subject to termination or rescission if the facts change?
Bumper_Man Franchise · 2025 FDDAnswer from 2025 FDD Document
- **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 FDD, the General Release signed by the franchisee and any guarantors includes an acceptance of the risk that facts may change after the release is signed.
The FDD states that franchisees and guarantors understand that the facts related to the release may turn out to be different from what they currently know or believe to be true. Despite this possibility, franchisees and guarantors agree that the release will remain effective and will not be subject to termination or rescission due to any differences in facts that may arise later.
This means that a Bumper Man franchisee is assuming the risk that new information could emerge that might have altered their decision to sign the release. By agreeing to this, the franchisee waives their right to later claim the release is invalid based on new or changed facts. This clause is designed to protect Bumper Man from future claims, even if those claims are based on circumstances that were not fully understood at the time the release was executed.