Who does the Buns On Fire release agreement benefit, besides the parties involved?
Buns_On_Fire Franchise · 2025 FDDAnswer from 2025 FDD Document
EXHIBIT "I" TRAINING COMPLETION AGREEMENT AND RELEASE
The undersigned is a franchisee of SMYA Ventures LLC, an Illinois limited liability company ("Buns on Fire" or "Franchisor"), owner or operator of or an investor in a Buns on Fire franchise, or a manager of a Buns on Fire Restaurant operated by a Buns on Fire franchisee who is commencing training. As part of such training, the undersigned may visit, inspect, train, and work in one or more of the Buns on Fire Restaurants owned or operated by Franchisor, its affiliates, or by one or more Buns on Fire franchisees. As an inducement to cause the owner of such Buns on Fire Restaurant to permit the undersigned to visit, inspect, train and work in such restaurant, THE UNDERSIGNED HEREBY RELEASES, HOLDS HARMLESS, AND AGREES TO DEFEND & INDEMNIFY SMYA VENTURES LLC, THE OWNER(S) OF SUCH RESTAURANT(S), AND THEIR RESPECTIVE SHAREHOLDERS, OFFICERS, DIRECTORS, EMPLOYEES, AGENTS, REPRESENTATIVES, AFFILIATES, SUCCESSORS AND ASSIGNS (COLLECTIVELY, THE "RELEASED & INDEMNIFIED PARTIES"), FROM AND AGAINST ANY AND ALL LIABILITY, LOSS, INJURY, DAMAGE, COST AND EXPENSE SUFFERED OR INCURRED BY THE UNDERSIGNED AS A RESULT OF ANY SUCH VISIT, INSPECTION, TRAINING, OR WORK. IT IS ACKNOWLEDGED THAT THE FOREGOING RELEASE AND INDEMNITY IS INTENDED TO BE AS BROAD AND COMPREHENSIVE AS PERMITTED BY LAW, AND INCLUDES LIABILITY, COST, DAMAGE, INJURY, COST, AND EXPENSE SUFFERED AS A RESULT OR PARTLY AS A RESULT OF ANY NEGLIGENCE, ERROR OR OMISSION BY THE RELEASED & INDEMNIFIED PARTIES. The undersigned further represents that he has independently obtained or is covered by adequate insurance to cover the risk of loss or injury. Some states do not allow the limitations on liability set forth above. Accordingly, not all of the limitations set forth in this section may apply to undersigned.
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, the training completion agreement and release benefits not only SMYA Ventures LLC (Buns on Fire or Franchisor) but also a range of other parties. These include the owners of the restaurants where training occurs, along with their shareholders, officers, directors, employees, agents, representatives, affiliates, successors, and assigns, all of whom are collectively referred to as the "Released & Indemnified Parties."
This agreement requires the franchisee, operator, investor, or manager undergoing training to release, hold harmless, and indemnify the Released & Indemnified Parties from any liability, loss, injury, damage, cost, and expense incurred during the training period. This protection extends to issues arising from visits, inspections, training, or work conducted at Buns on Fire restaurants. The scope of this release and indemnity is broad, covering potential liabilities resulting from negligence, errors, or omissions by the Released & Indemnified Parties.
Prospective franchisees should note that this release is designed to be as comprehensive as legally permissible, which means they are assuming significant responsibility for any incidents that may occur during their training or the training of their managers. Franchisees should ensure they have adequate insurance coverage to mitigate these risks. It's also important to be aware of any state-specific limitations on liability, as some states may not fully enforce the limitations described in the agreement. For example, the FDD states that for franchises located in Maryland or granted to Maryland residents, the general release does not apply to liability under the Maryland Franchise Registration and Disclosure Law.