What is the impact of a Cicis franchisee's subsidiary's actions on the General Release?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
o terminate the Franchise Agreement. Termination will be effective at the close of business on the 30th day following delivery of your written notice of termination, and you will thereafter be required to comply with all obligations under the Franchise Agreement that are either triggered by or that expressly or by implication survive termination (except the obligation to pay Lost Revenue Damages under Section 16.M of the Franchise Agreement).
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- Definitions. As used in this Amendment, "Good Standing" means that you, your owners, and your affiliates (if any) are not in default of the Franchise Agreement or any other agreement with us or our affiliates; and that you, your owners, and your affiliates have substantially and timely complied with all of the terms and conditions of all such agreements, including the timely satisfaction of all monetary obligations owed to us or our affiliates.
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- General Release. You, on behalf of yourself, and your respective current and former parents, affiliates, and subsidiaries, and the agents, spouses, heirs, principals, attorneys, owners, officers, directors, employees, representatives, predecessors, successors, and assigns of each (collectively, the
"Releasing Parties"), hereby absolutely and irrevocably release and discharge us, our parents, subsidiaries, and affiliates, and the current and former owners, officers, directors, employees, managers, agents, representatives, predecessors, successors, and assigns of each (collectively, the "Released Parties"), of and from any and all claims, obligations, debts, proceedings, demands, rights to terminate and rescind, liabilities, losses, damages, and causes of action of whatever kind or nature, whether known or unknown, vested or contingent, suspected or unsuspected, at law or in equity (collectively, "Claims"), which any of the Releasing Parties ever owned or held, now own or hold, or may in the future own or hold, which are based on actions, omissions, or occurrences occurring on or prior to the Effective Date of this Addendum, including, w
Source: Item 23 — RECEIPTS (FDD pages 65–263)
What This Means (2025 FDD)
According to the 2025 Cicis Franchise Disclosure Document, the actions of a franchisee's subsidiaries are included in the General Release. The General Release encompasses the franchisee, their current and former parents, affiliates, and subsidiaries, along with their agents, spouses, heirs, principals, attorneys, owners, officers, directors, employees, representatives, predecessors, successors, and assigns. These parties are collectively known as the "Releasing Parties."
The General Release involves the Releasing Parties releasing and discharging Cicis, its parents, subsidiaries, and affiliates, as well as their current and former owners, officers, directors, employees, managers, agents, representatives, predecessors, successors, and assigns, who are collectively known as the "Released Parties." This release covers all claims, obligations, debts, proceedings, demands, rights to terminate and rescind, liabilities, losses, damages, and causes of action, whether known or unknown, vested or contingent, suspected or unsuspected, at law or in equity. These claims must be based on actions, omissions, or occurrences on or before the effective date of the addendum, and related to applicable laws, the Franchise Agreement, the relationships created by the agreements, or the operation of any Cicis-branded restaurant.
This means that any claims arising from the actions of a Cicis franchisee's subsidiary before the addendum's effective date are included in the release, preventing the franchisee or their subsidiary from pursuing legal action against Cicis for those claims. However, if the Cicis restaurant is in Maryland or any of the releasing parties are residents of Maryland, the general release does not apply to any liability under the Maryland Franchise Registration and Disclosure Law.