Who is released from claims in the Christies International Real Estate agreement?
Christies_International_Real_Estate Franchise · 2025 FDDAnswer from 2025 FDD Document
In consideration of the mutual covenants and promises below, and other good and valuable consideration, the parties hereby agree as follows:
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- Approval. Licensor hereby approves the opening of the Additional Office at the location set forth above. The Additional Office will commence operations under the CHRISTIE'S INTERNATIONAL REAL ESTATE system within 90 days of the Effective Date of this Agreement. The Additional Office will be subject to the terms and conditions in the Broker Affiliate License Agreement.
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- Release. Affiliate and all of Affiliate 's guarantors, members, employees, agents, successors, assigns and affiliates fully and finally release and forever discharge Licensor, its past and present agents, employees, officers, directors, members, licensees, franchisees, successors, assigns and affiliates (collectively "Released Parties") from any and all claims, actions, causes of action, contractual rights, demands, damages, costs, loss of services, expenses and compensation which Affiliate could assert against Released Parties or any of them up through and including the date of this Release. THIS IS A SPECIFIC RELEASE GIVING UP ALL RIGHTS WITH RESPECT TO THE TRANSACTIONS OR OCCURRENCES THAT ARE BEING RELEASED UNDER THIS AGREEMENT.
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- FOR CALIFORNIA RESIDENTS ONLY: You represent and warrant that YOU EXPRESSLY WAIVE ANY AND ALL RIGHTS AND BENEFITS UNDER CALIFORNIA CIVIL CODE §1542, which provides as follows:
A general release does not extend to claims which the creditor does not know or suspect to exist in his or her favor at the time of executing the release, which if known by him or her must have materially affected his or her settlement with the debtor.
The above release shall not apply to any liabilities arising under the California Franchise Investment Law, the California Franchise Relations Act, Indiana Code § 23-2-2.5.1 through 23-2-2.7-7, the Maryland Franchise Registration and Disclosure Law, Michigan Franchise Investment Law, Minnesota Franchise Act, North Dakota franchise laws, the Rhode Island Investment Act, and the Washington Franchise Investment Protection Act.
Source: Item 23 — RECEIPT (FDD pages 54–177)
What This Means (2025 FDD)
According to the 2025 Christies International Real Estate FDD, the "Licensor", including its past and present agents, employees, officers, directors, members, licensees, franchisees, successors, assigns and affiliates (collectively "Released Parties") are released from claims. This release comes from the Affiliate and all of the Affiliate's guarantors, members, employees, agents, successors, assigns and affiliates. This release covers any and all claims, actions, causes of action, contractual rights, demands, damages, costs, loss of services, expenses and compensation which the Affiliate could assert against the Released Parties up through and including the date of the release.
This release is a specific release, giving up all rights with respect to the transactions or occurrences that are being released under this agreement. However, this release does not apply to any liabilities arising under specific state franchise laws, such as the California Franchise Investment Law, the California Franchise Relations Act, Indiana Code, the Maryland Franchise Registration and Disclosure Law, Michigan Franchise Investment Law, Minnesota Franchise Act, North Dakota franchise laws, the Rhode Island Investment Act, and the Washington Franchise Investment Protection Act.
For California residents, the agreement also includes a waiver of rights under California Civil Code §1542, which relates to claims unknown at the time of executing the release that, if known, would have materially affected the settlement. This means that California franchisees are giving up rights to claims they don't even know about yet. This is a significant point for prospective franchisees to consider, especially those in California, as it limits their ability to pursue claims against Christies International Real Estate in the future, except for those claims arising under the California Franchise Investment Law and the California Franchise Relations Act.