Does the Card My Yard general release extend to the Released Parties' past partners?
Card_My_Yard Franchise · 2025 FDDAnswer from 2025 FDD Document
- (3) The transferor and its owners,if applicable, shall have executed a general release, in a form satisfactory to us, of any and all claims, against us and our Affiliates, 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 and any other agreement with us or our Affiliates, and under federal, state or local laws, rules, and regulations or orders;
Source: Item 23 — RECEIPTS (FDD pages 84–259)
What This Means (2025 FDD)
According to Card My Yard's 2025 Franchise Disclosure Document, if a franchisee transfers their franchise, the transferor must execute a general release. This release covers claims against Card My Yard and its affiliates, as well as their respective officers, directors, shareholders, partners, members, agents, representatives, independent contractors, servants, and employees, both past and present, in their corporate and individual capacities. This includes claims arising under the Franchise Agreement, any other agreements with Card My Yard or its affiliates, and under federal, state, or local laws, rules, regulations, or orders.
This requirement ensures that Card My Yard is protected from potential legal issues that may arise from the previous franchisee's operation of the business. By requiring a general release, Card My Yard aims to avoid future litigation related to the transferred franchise.
However, the document does not explicitly state whether this general release extends to the 'past partners' of the released parties. A prospective franchisee should seek clarification from Card My Yard regarding the scope of this release and whether it includes past partners to fully understand the extent of their liability upon transferring the franchise.