What is the relationship between the Cicis franchise agreement and the general release?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
| ON SMILE LLC ("we," "us," or "our") and the undersigned franchisee ("you" or |
|---|
| "your"), currently are parties to a certain franchise agreement dated |
| , 20 |
| (the "Agreement"). You have asked us to take the following action or to agree to |
| the following request: |
| We have the right under the |
| Agreement to obtain a general release from you and your owners as a condition of taking this |
| action or agreeing to this request. Therefore, we are willing to take the action or agree to the |
| request specified above if you and your owners give us the release and covenant not to sue provided |
| below in this document. You and your owners are willing to give us the release and covenant not |
| to sue provided below as partial consideration for our willingness to take the action or agree to the |
| request described above. |
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 31–38)
What This Means (2025 FDD)
According to the 2025 Cicis Franchise Disclosure Document, Cicis has the right to obtain a general release from the franchisee and their owners as a condition of taking a specific action or agreeing to a request made by the franchisee. This means that if a franchisee asks Cicis to take some action or make an agreement, Cicis can require the franchisee and their owners to sign a release, which prevents them from suing Cicis.
The franchisee and their owners agree to provide this release as partial consideration for Cicis's willingness to take the action or agree to the request. This indicates that the release is part of a negotiation where both parties give something up to reach an agreement. The franchisee gets Cicis to act or agree to something they want, while Cicis gets protection from potential lawsuits related to that action or agreement.
However, if the Cicis franchise is located in Maryland, or if any of the releasing parties are residents of Maryland, any general release provided does not apply to liability under the Maryland Franchise Registration and Disclosure Law. This provides an exception to the general release, ensuring that franchisees in Maryland retain their rights under Maryland franchise law.