Does the Casiola General Release cover claims in common law?
Casiola Franchise · 2024 FDDAnswer from 2024 FDD Document
Any and all claims including, but not limited to Franchise Claims (defined below), causes of action, violations, damages, actions, contracts, covenants, promises, judgments, suits, indebtedness, liabilities, accounts, and demands of every kind and nature (hereinafter all collectively referred to as the "Claims" or "Claim"), whether or not such Claims are presently known or unknown, disclosed or undisclosed, actual or potential, accrued or unaccrued and whether in law, admiralty, common law, or equity which against the Releasee, Releasor ever had, now has or hereafter can, shall or may, have for, upon, or by reason of any Claim, matter, cause or thing whatsoever from the beginning of the world to the Effective Date of this Release.
Source: Item 23 — RECEIPTS (FDD pages 47–209)
What This Means (2024 FDD)
According to Casiola's 2024 Franchise Disclosure Document, the General Release does cover claims in common law. The release encompasses a broad range of claims, including those arising under common law. This means that by signing the release, a franchisee is giving up their right to sue Casiola for any claims, whether known or unknown, that exist under common law.
This has significant implications for prospective franchisees. Common law claims can include a variety of legal issues, such as negligence, breach of contract, and fraud. By signing a general release, a franchisee is potentially giving up their right to sue Casiola for these types of claims, even if they are not aware of them at the time of signing. This could leave franchisees vulnerable if they later discover that Casiola has engaged in misconduct that harmed their business.
However, certain states such as Maryland, New York, Indiana, and California have specific laws that may limit the enforceability of general releases, particularly concerning claims arising under state franchise laws. For example, the FDD states that in California, franchise laws void a waiver of rights under the Franchise Investment Law and the Franchise Relations Act. Similarly, in Maryland, a general release required as a condition of renewal, sale, or transfer of a Franchise Agreement does not apply to any liability under the Maryland Franchise Registration and Disclosure Law. Franchisees should consult with an attorney to understand the full scope and implications of the general release in their specific state.
The Casiola Franchise Agreement also states that the Release shall be interpreted in accordance with the laws of the State of Florida. Additionally, in the event of any legal proceeding related to the Release, the prevailing party is entitled to recover reasonable attorney's fees. This clause further emphasizes the importance of understanding the release and seeking legal counsel if needed.