Does the Cicis general release apply to claims arising before the date of the franchisee's signature?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
Consistent with the previous introduction, you, on your own behalf and on behalf of your affiliated entities, and each such foregoing person's or entity's successors, heirs, executors, administrators, personal representatives, agents, assigns, partners, owners, managers, directors, officers, principals and employees (collectively, the "Releasing Parties"), hereby forever release and discharge us and our current and former affiliated entities, and each such entity's officers, directors, owners, managers, principals, employees, agents, representatives, successors, and assigns (collectively, the "Franchisor Parties") of and from any and all claims, damages (known and unknown), demands, causes of action, suits, duties, liabilities, and agreements of any nature and kind (collectively, "Claims") that you and any of the other Releasing Parties now has, ever had, or, but for this document, hereafter would or could have against any of the Franchisor Parties, including without limitation, (1) arising out of or related to the Franchisor Parties' obligations under the Agreement, or (2) otherwise arising from or related to your and the other Releasing Parties' relationship, from the beginning of time to the date of your signature below, with any of the Franchisor Parties. You, on your own behalf 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 paragraph and represent that you have not assigned any of the Claims released by this paragraph to any individual or entity who is not bound by this paragraph.
We also are entitled to release and covenant not to sue from your owners. By his, her, or their separate signatures below, your owners likewise grant to us the release and covenant not to sue provided above.
If the franchise you operate under the 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 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 31–38)
What This Means (2025 FDD)
According to Cicis's 2025 Franchise Disclosure Document, the general release that franchisees and their owners provide to Cicis covers claims from the beginning of time up to the date the franchisee signs the agreement. This means that by signing the release, the franchisee and their affiliated parties are giving up any rights to sue Cicis for any past issues or disputes that have occurred before the signature date. This includes known and unknown damages. The franchisee also agrees not to sue Cicis for any of these released claims.
This release is a standard legal practice in franchising, designed to protect Cicis from potential liabilities related to past actions or relationships. However, there is an exception for franchisees in Maryland or residents of Maryland, where the general release does not apply to liabilities under the Maryland Franchise Registration and Disclosure Law.
For a prospective Cicis franchisee, this means carefully reviewing all past dealings and potential claims against Cicis before signing the Franchise Agreement. It is important to understand that the release covers a broad range of claims and effectively prevents future legal action against Cicis for any covered issues predating the signature date. Franchisees should seek legal counsel to fully understand the implications of this release and whether any specific concerns warrant negotiation or further investigation before signing.