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What is the exception to the general release for Buns On Fire franchises located in Maryland?

Buns_On_Fire Franchise · 2025 FDD

Answer from 2025 FDD Document

The following language applies to franchises to be located in Maryland or to be granted to Maryland residents: The general release included in this consent and release shall not apply to any liability under the Maryland Franchise Registration and Disclosure Law.

Source: Item 23 — RECEIPTS (FDD pages 49–200)

What This Means (2025 FDD)

According to the 2025 Buns On Fire Franchise Disclosure Document, there is an exception to the general release for franchises located in Maryland or granted to Maryland residents. The general release included in the training completion agreement and release does not apply to any liability under the Maryland Franchise Registration and Disclosure Law. This means that while franchisees typically release Buns On Fire from various liabilities during training, this release does not extend to liabilities arising from Maryland's franchise laws for Maryland franchisees. This ensures that franchisees in Maryland retain their rights and protections under state franchise law, even after signing a general release.

This exception is further reinforced by the Maryland Addendum to the Franchise Agreement. The addendum specifies that no release language in certain sections of the Franchise Agreement (specifically those concerning requirements for renewal or transfer) will relieve Buns On Fire from liability imposed by Maryland's franchising laws. These sections are amended to explicitly state that the release requirement is not intended to waive any liability incurred under the Maryland Franchise Registration and Disclosure Law, and that the release will not apply to claims arising under this law.

Furthermore, the addendum clarifies that any claims arising under the Maryland Franchise Registration and Disclosure Laws must be brought within three years after the grant of the franchise. This provision sets a specific statute of limitations for claims under Maryland franchise law, ensuring that franchisees are aware of the time frame within which they must bring any legal action. These stipulations collectively provide additional protection to Buns On Fire franchisees in Maryland, ensuring their rights under state law are preserved despite general release clauses in 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.