What is the definition of 'Releasing Parties' in the Cicis franchise agreement?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
You, on behalf of yourself, and your current and former parents, affiliates, and subsidiaries, and each of the foregoing person's or entity's respective direct or indirect owners, officers, directors, employees, representatives, predecessors, spouses, heirs, principals, attorneys, agents, successors, and assigns (collectively, the "Releasing Parties"), do hereby absolutely and irrevocably release and discharge us and our parents, subsidiaries, and affiliates, and each of the foregoing entity's current and former owners, officers, directors, employees, managers, agents, representatives, predecessors, successors, and assigns (the "Franchisor Parties"), of and from any and all claims, obligations, debts, proceedings, demands, causes of actions, rights to terminate and rescind, liabilities, losses, damages, and rights of every kind and nature whatsoever, whether known or unknown, suspected or unsuspected, at law or in equity (collectively, "Claims"), which any of them has, had or may have, from the beginning of time to the Effective Date, including, without limitation, those arising out of or relating in any way to the Original Franchise Agreement, the relationship created by the Original Franchise Agreement, or the development, ownership, or operation of the Restaurant.
You, on behalf of yourself and on behalf of the other Releasing Parties, further covenant not to sue any of the Franchisor Parties on any of the Claims released by this Section and warrant and represent that you and they have not assigned or otherwise transferred any Claims released by this Section.
If the Restaurant you operate under the Original Franchise and/or New Franchise Agreement is located in Maryland or if any of the Releasing Parties is a resident of Maryland, the following shall apply:
Any general release provided for hereunder shall not apply to any liability under the Maryland Franchise Registration and Disclosure Law.
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 58–64)
What This Means (2025 FDD)
According to the 2025 Cicis Franchise Disclosure Document, the term "Releasing Parties" encompasses a broad range of individuals and entities connected to the franchisee. This includes the franchisee themselves, along with their current and former parents, affiliates, and subsidiaries. The definition extends to each of these entities' direct or indirect owners, officers, directors, employees, representatives, predecessors, spouses, heirs, principals, attorneys, agents, successors, and assigns.
This comprehensive definition means that when a franchisee signs a release, it potentially affects a large group of related parties. The release aims to discharge Cicis and its related entities from any claims that the franchisee or any of these related parties might have. This includes claims, obligations, debts, proceedings, demands, causes of actions, rights to terminate and rescind, liabilities, losses, damages, and rights of every kind and nature whatsoever, whether known or unknown, suspected or unsuspected, at law or in equity.
It is important for a prospective Cicis franchisee to understand the scope of this definition. Before signing any release, franchisees should carefully consider who is included in the "Releasing Parties" and what potential claims those parties might have. Franchisees should also be aware that the release covers claims from the beginning of time to the effective date of the agreement, which is a very broad timeframe. Franchisees located in Maryland, or if any of the releasing parties are residents of Maryland, should note that any general release does not apply to any liability under the Maryland Franchise Registration and Disclosure Law.