Does the Cinch I.T. Franchise Disclosure Document include a General Release?
Cinch_I_T Franchise · 2024 FDDAnswer from 2024 FDD Document
TON AND FRANCHISEES WITH A BUSINESS TO BE LOCATED IN WASHINGTON ARE NOT REQUIRED TO COMPLETE THIS QUESTIONNAIRE: This Questionnaire does not waive any liability the franchisor may have under the Washington Franchise Investment Protection Act, RCW 19.100, and the rules adopted thereunder.
Your answers are important to us and we will rely on them; by signing this Questionnaire, you are representing that you have responded truthfully to all of the above questions.
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EXHIBIT M TO THE DISCLOSURE DOCUMENT CINCH FRANCHISE, LLC FORM OF GENERAL RELEASE
FORM OF GENERAL RELEASE
This General Release ("Release") is made and entered into on this day of, 20 by and between CINCH FRANCHISE, LLC and ("Franchisor") ("Franchisee"). WITNESSETH: WHEREAS, Franchisor and Franchisee are parties to a CINCH I.T. Franchise Agreement CINCH (the "Franchise Agreement") dated, 20, granting Franchisee the right to operate a I.T. business under Franchisor's proprietary marks and system. NOW THEREFORE, in consideration of the mutual covenants and conditions contained in this Release, and other good and valuable consideration, receipt of which is hereby acknowledged by each of the parties hereto, the parties hereto agree as follows: Franchisee, for itself and its successors, predecessors, assigns, beneficiaries, executors, trustees, agents, representatives, employees, officers, directors, shareholders, partners, members, subsidiaries and affiliates (jointly and severally, the "Releasors"), irrevocably and absolutely releases and forever discharges Franchisor and its successors, predecessors, assigns, beneficiaries, executors, trustees, agents, representatives, employees, officers, directors, shareholders, partners, members, subsidiaries and affiliates (jointly and severally, the "Releasees"), of and from all claims, obligations, actions or causes of action (however denominated), whether in law or in equity, and whether known or unknown, present or contingent, for any injury, damage, or loss whatsoever arising from any acts or occurrences occurring as of or prior to the date of this Release relating to the Franchise Agreement, the business operated under the Franchise Agreement, and/or any other agreement between any of the Releasees and any of the Releasors. The Releasors, and each of them, also covenant not to sue or otherwise bring a claim against any of the Releasees regarding any of the claims being released under this Release. This Release shall not apply to any liability under the Maryland Franchise Registration and Disclosure Law. This General Release shall not apply to claims arising under the Washington Franchise Investment Protection Act, RCW 19.100, and the rules adopted thereunder.
Source: Item 23 — RECEIPTS (FDD pages 60–269)
What This Means (2024 FDD)
Yes, the 2024 Cinch I.T. Franchise Disclosure Document includes a General Release. Exhibit M of the document contains the "FORM OF GENERAL RELEASE". This release is an agreement between Cinch Franchise, LLC (the Franchisor) and the Franchisee.
The General Release stipulates that the Franchisee releases the Franchisor from all claims, obligations, actions, or causes of action related to the Franchise Agreement or the business operated under it, occurring before the date of the release. This includes any known or unknown claims, whether in law or equity, for any injury, damage, or loss. The Franchisee also agrees not to sue the Franchisor regarding any claims being released.
However, the General Release does not apply to any liability under the Maryland Franchise Registration and Disclosure Law or claims arising under the Washington Franchise Investment Protection Act, RCW 19.100, and the rules adopted thereunder. Additionally, the FDD states that if you renew or transfer your franchise, you must sign a general release. It also notes that California Corporations Code §31512 voids a waiver of your rights under the Franchise Investment Law (California Corporations Code §§31000 through 31516) and Business and Professions Code §20010 voids a waiver of your rights under the Franchise Relations Act (Business and Professions Code §§20000 through 20043).