Does the Card My Yard general release apply to the Releasors' subsidiaries?
Card_My_Yard Franchise · 2025 FDDAnswer from 2025 FDD Document
er from the terms of this Agreement, except thatthe fees on renewal will not be greater than the feesthat we then impose on similarly situated renewing franchisees;
- (7) You and your Owners must execute a general release of any and all claims against us, our Affiliates, and our and their respective officers, directors, shareholders, partners, members, agents, representatives, independent contractors, servants and employees, past and present, in their corporate and individual capacities, including, without limitation, claims arising under this Agreement or under federal, state or local laws, rules, regulations or orders;
- (8) You must pay us a renewal fee in the amount of $3,000; and
- (9) You must comply with our then-current qualification and training requirements.
V. FEES
- A. Initial Franchise Fee. You agree to pay us an initial franchise fee of Eight Thousand Five Hundred Dollars ($8,500) upon the execution of this Agreement. The initial franchise fee shall be deemed fully earned and nonrefundable upon receipt by us.
- B. Royalty Fee.
Source: Item 23 — RECEIPTS (FDD pages 84–259)
What This Means (2025 FDD)
According to the 2025 Card My Yard Franchise Disclosure Document, the general release that franchisees and transferors must sign extends to Card My Yard's affiliates. Specifically, when renewing the franchise agreement, the franchisee must execute a general release of claims against Card My Yard, its Affiliates, and their respective officers, directors, shareholders, partners, members, agents, representatives, independent contractors, servants, and employees, past and present, in their corporate and individual capacities. This release includes claims arising under the Franchise Agreement or under federal, state, or local laws. Similarly, if a franchisee transfers their franchise, the transferor must execute a general release of all claims against Card My Yard and its Affiliates.
This requirement means that as a Card My Yard franchisee, you are potentially waiving your rights to sue not only Card My Yard itself but also any related companies or individuals associated with the franchisor upon renewal or transfer. The release covers a broad range of potential claims, including those related to the franchise agreement, other agreements, and any legal violations.
For a prospective franchisee, this underscores the importance of carefully evaluating all aspects of the franchise relationship and any potential claims before signing the franchise agreement or seeking a renewal or transfer. It would be prudent to seek legal counsel to fully understand the implications of this general release and its impact on your rights and potential future legal actions against Card My Yard or its affiliates.