factual

What specific actions are covered by the General Release provided by the Cicis franchisee under the Underperforming Incentive Program Addendum?

Cicis Franchise · 2025 FDD

Answer from 2025 FDD Document

and your owners' agreement to comply with the obligations under the Franchise Agreement that are triggered by or that survive the termination of the agreement.

  1. General Release. The Guarantors and you, on behalf of yourself, themselves and your and their 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, without limitation, Claims based upon, arising out of, or in any way related to (i) applicable laws, rules and regulations, (ii) the Franchise Agreement and all other agreements between any Releasing Party and any Released Party, (iii) the relationships created by such agreements, or (iv) the sale, development, ownership, purchase or operation of the Restaurant or any other Cicisbranded restaurant. The Guarantors and you represent and warrant that no Claims released by the Releasing Parties in this paragraph have been assigned to any third party.

If the Restaurant you operate under the 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 23 — RECEIPTS (FDD pages 65–263)

What This Means (2025 FDD)

According to Cicis's 2025 Franchise Disclosure Document, the General Release within the Underperforming Incentive Program Addendum requires the franchisee (and related parties) to release Cicis and its affiliates from various claims. 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.

The claims being released include, but are not limited to, those based upon applicable laws, rules, and regulations; the Franchise Agreement and all other agreements between the franchisee and Cicis; the relationships created by such agreements; or the sale, development, ownership, purchase, or operation of the Restaurant or any other Cicis-branded restaurant. This means a franchisee waives their rights to sue Cicis for issues that occurred before the addendum's effective date related to the franchise agreement or restaurant operations.

However, if the Cicis restaurant is located in Maryland, or if 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. This ensures that franchisees in Maryland retain their rights under Maryland franchise law, despite signing the general release. Franchisees should carefully review this section with their legal counsel to understand the full scope and implications of the release, especially concerning potential future claims or issues that may arise.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.