Does the Card My Yard general release cover claims of whatever kind or nature?
Card_My_Yard Franchise · 2025 FDDAnswer from 2025 FDD Document
We will have the unrestricted
right to assign these options, and we or our assignee will be entitled to all customary warranties and representations in connection with the asset transfer, including, without limitation, representations and warranties as to ownership and condition of and title to assets; liens and encumbrances on assets; validity of contracts and agreements; and liabilities affecting the assets, contingent or otherwise; and a general release.
Source: Item 23 — RECEIPTS (FDD pages 84–259)
What This Means (2025 FDD)
According to Card My Yard's 2025 Franchise Disclosure Document, when Card My Yard exercises its option to acquire the assets of a franchisee's Card My Yard business, the franchisor or its assignee will be entitled to a general release. The FDD does not specify the scope of this general release, nor does it explicitly state that the general release covers claims of whatever kind or nature.
This general release is part of the asset transfer process if Card My Yard decides to purchase the franchisee's business. The franchisee should be aware that they may be required to sign a general release, which could impact their rights and potential future claims against the franchisor. The specifics of what the release covers would be important to understand before signing.
As the FDD does not provide the exact wording or scope of the general release, it is important for a prospective franchisee to seek clarification from Card My Yard regarding the terms and implications of this release. Understanding the full extent of the release is crucial before entering into a franchise agreement.