What does a Cinnaholic franchisee irrevocably waive regarding jurisdiction in the event of a lawsuit?
Cinnaholic Franchise · 2025 FDDAnswer from 2025 FDD Document
With regard to any of the above sales, assignments and dispositions, Franchisee expressly and specifically waives any claims, demands or damages arising from or related to the loss of Franchisor's name, the Marks (or any variation thereof) and the CINNAHOLIC® System and/or the loss of association with or identification of CINNAHOLIC FRANCHISING, LLC, under this Agreement.
Source: Item 22 — CONTRACTS (FDD pages 61–62)
What This Means (2025 FDD)
According to Cinnaholic's 2025 Franchise Disclosure Document, franchisees expressly and specifically waive any claims, demands, or damages arising from or related to the loss of Cinnaholic Franchising, LLC's name, the Marks (or any variation thereof), and the Cinnaholic system. This waiver also includes the loss of association with or identification of Cinnaholic Franchising, LLC, under the Franchise Agreement. This waiver is related to specific situations where Cinnaholic may sell its assets, the Marks, or the Cinnaholic system to a third party, go public, engage in private placement of securities, merge with or acquire another corporation, or undertake financial restructuring.
This means that if Cinnaholic undergoes significant changes such as being sold, merged, or restructured, franchisees cannot sue for damages related to the change of the brand's name, trademarks, or the overall system. This waiver is designed to protect Cinnaholic's ability to make strategic business decisions without the threat of legal action from franchisees who may feel negatively impacted by these changes.
This waiver does not apply to rights that cannot be waived under applicable state franchise laws. The Franchise Agreement is construed in accordance with the laws of the State of Georgia without regard to its conflicts of law provisions.