What parties are included in the definition of 'Releasing Parties' in the Cicis amendment?
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.
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 58–64)
What This Means (2025 FDD)
According to Cicis's 2025 Franchise Disclosure Document, the term "Releasing Parties" is comprehensively defined within the context of a release agreement. This definition is crucial for prospective franchisees to understand, as it specifies exactly who is giving up their rights to make claims against Cicis.
The Releasing Parties include the franchisee themselves, along with their current and former parents, affiliates, and subsidiaries. It extends further to encompass each of these entities' respective direct or indirect owners, officers, directors, employees, representatives, predecessors, spouses, heirs, principals, attorneys, agents, successors, and assigns. This all-encompassing definition ensures that a broad range of individuals and entities connected to the franchisee are bound by the release, preventing future claims against Cicis from those related parties.
This definition has significant implications for a potential Cicis franchisee. By signing the release, the franchisee is not only waiving their own rights to make claims, but also ensuring that a wide array of affiliated parties are similarly restricted. This is a common practice in franchising to protect the franchisor from potential litigation arising from various sources connected to the franchisee's business. Franchisees should carefully consider the scope of this definition and seek legal counsel to fully understand the rights they are waiving on behalf of themselves and related parties.